Updated almost 10 years ago on . Most recent reply
Rundown Condo Community
Hey BPers!
I had a friend quit claim a condo to me in Lithonia, GA. However, it needs a lot of work due to water damage. He also owed the HOA a lot of money, but they are working with me by allowing me to pay only the principal balance and waiving all the accrued interest and late fees and giving me 18 months to pay back everything in arrears interest free!
The values are low due to condition of the community and deadbeat not paying their dues for years. However, the HOA is motivated and feeding me deals because I am willing to go in and rehab the vacant, abandoned & neglected properties once they foreclose or have them deeded over to them. The community is in the 2nd year of a 4 year assessment to improve the buildings and grounds. This is one reason I'm interested in the community. Another reason is the fact they are motivated and have a good legal team and management company willing to work with investors that want to improve the community and get homeowners in there. That is my plan.
Here's my questions:
What are my best options for finding money to rehab several properties at once? and the best way to find a private money lender for 8% or better terms so I can offer owner financing to new homeowners?
FYI, banks won't lend in there yet. We need a higher ratio of homeowners and higher compliance/participation rate with HOA dues.
Thanks! I'm looking forward to the responses!