I offer 10% for loans at 50% ltv or LESS. This current purchase and offering will be paid interest only payments every month, until paid off as tenants have been there for 4 years. 1 to 2 year note.
So, I know you can do better.
When tenants move, then I'll stage and market the property. Most of the investors I do business with can have a 120 Day call if they want.
The notes are for 70K each or some combination of equal dignity note (never heard it called this before) if they want to break it up due to not being able to do the full 1st.
I have 3 very nice [2 occupied, 1vacant and in rental application now] single family homes in middle Virginia ( very desirable area and I'm looking to place 70K 1st on each one.
I pay more, for higher risk, like seconds and so forth but I don't even design my notes or financing for seconds unless it is previous owner held.
Values are, 169K, 175K and 215K and are free and clear.
Va is a trust deed state and foreclosure is about 3 to 4 months at the most.
My attorney is an investor as well and drafts note to the lenders preferences and the note is secured by deed in first position on the property.
I have 35 years experience in the Va market.
Your second position is very risky!
