All Forum Posts by: David McBrayer

Then it sounds like some may not have as much money to lend as one might think?  I do understand it is a dinky deal.  But the attitude put toward a small deal is sad.  Probably why we had a bust last time and why some of you are so scared.   I understand they do not bring in a ton of money on that deal, but you are trying to build a relationship and get them to do more deals with you.  Or that is how I would do it or what I am trying to do.

It sounds like all the lenders started out going big right off the bat.  They did not do small deals or start small.  The little man don't count.  There are times when the deal is more risky.  And there are times when a solid small deal is looking you right in the face and you laugh at it.  And that deal would turn another deal and another deal and each one gets bigger.

Shoot for the moon.  But stay grounded on Earth.

I have several other irons in the fire.  This is the cheapest one but the one that is about to go down.  Again, I want to build a relationship.  So if I needed $250k or more, some of you would get a little more excited?  I have those too. 

I guess it is better to make $0's on a deal, than to make $2000 dollars on a small deal and have to do a little work or take a little chance or risk?   

@Jay Hinrichs, you are right.  But Lenders can learn to be a little kinder and not have those big dollar signs in their eyes.  Sort of like, I am the only lender out there for you.  And that is not true.  They may be the only lender I have talked to at the time that could do the deal.  But there are others.  If you want to ask friends and family.  And from the beginning I have said build business relationships.  I can always hit a friend or two up for $5k or $10k.  They know I am good for it.  But that is not a business relationship.  It is better financially though.  As they charge way less money and don't require paperwork.  Or much of it.  But if the end of the month gets here and I need to?  I will ask one.  Or just string out the project until I am able to do what you were saying.  Thanks for the info and everyone have a great 4th of July.  I do appreciate all the feedback.  I need to be schooled.

@Account Closed I don't want you to be scared to lend me money.  But I understand what you are saying.  I am looking for business relationships.  I pay my bills on time, the lender are happy and life is good.  Then they say, find another deal and come talk to me.  That is why CASH is KING.  He ain't scared.  Just kidding man.  Trying to have some fun as well.

@Jay Hinrichs, I wish I could.  I don't know how and time is running out.  Face it, I have been a cash buyer and I don't know the in's and outs yet.  I got to get busy.  Because of the time line of this deal, and not wanting to bang my credit I have been building since coming back into the light, I have not tried to do that yet.

See, I have not dealt with multiple properties at once.  And all the ways of structuring them.  As it seems you do.  I will have to re-read this and study it some more.  Again, I got a few deals I would like to do.  The one house would cost $200k.

Thanks for the help and advise @Jay Hinrichs, I will have to send you a check too. LOL  I don't mind paying a little bit to build up a business relationship and trust.  I will have to look into what your lending style is so I can keep it in mind?  Making sure I understand the deal is huge.  And we all now know I don't.   But you are schooling me and I appreciate it!!!

@Jay Hinrichs it seems the numbers were a little higher than the ones you mentioned.  4 points and 14% for a short term is not that much.   But as a first offer early in the morning before the first cup of coffee can be shocking.

I have never used a HML before. See, I called them HL's. I left the MONEY out. I do have other deals I would like to do. But if I pay cash for this one? And have to rehab it on my own? If will eat up all my cash. But I will have tons of equity. And that is not a bad thing is it? Unless you want to do other deals as I do.

@Stan Sugarman you are right.  I am the one in the wrong.  I have a dinky deal.  And if I want the money I have to pay for it.   I do appreciate the honesty everyone.  I must learn.  Sometimes it takes a post like this to get schooled.  I am willing to learn now.  Don't think I am not soaking up what you all are saying!!!

Thanks @Jay Hinrichs, I am new to this.  And I was looking to put skin in the game.  I have put all my skin in the other games I have.  Except one.  A owner financed deal.  Again, $30k.  Because no one else wants a small deal as you say.

I need to learn more about the lending side.  To really understand a deal from both sides.  What I think is a good deal might be a total joke to someone else.   I would like to think I know a little bit about real estate.  But I have a ton to learn as you can see.

Thank you both again for the input.