All Forum Posts by: Angel Riley

I'm looking for financing for a project that I'm working on getting under contract. I currently in the process of buying 37 acres that I'm looking to put nightly/executive rental cabins on. There are currently 3 single family rentals on the property that are producing about $1,500 a month that will be phased out as the property gets closer to finished but are currently producing income for the property. What I'm looking for financing/ bridge loan for is construction of 8 rental cabins that will when finished produce around 16,000 a month in rental income, and getting the property ready to build on. I'm looking to borrow 3,000,000 short term with a future value of around 7,000,000. I have about 35% of my own money and the property.

The 8 rental cabins annually $576,000 gross monthly (If used as vacation rentals @ $200 nightly as I stated in my previous email at 100% rented and before operation costs)

$460,000 gross at 80% rented + $13,200 = $473,200

$403,200 gross at 70% rented + $13,200 = $416,400

$345,600 gross at 60% rented + $13,200 = $358,200

$288,000 gross at 50% rented + $13,200 + $301,200

If at any point they fall below 50% for more than 2 quarters the property will be either a listed as a business and all sold together or B subdivided and listed and sold which ever will bring the money in the quickest.

As executive rentals ( the operation cost is a lot lower here than with the nightly rentals so the profit margin is a lot smaller)

$230,400 at 100% rented + $13,200 = $243,600

$184,320 at 80% rented + $13,200 = $197,520

$161,280 at 70% rented + $13,200 = $174,480

And would have the same exit startigy in place as the nightly rentals if falls below the 70% mark for more than 2 quarters.

Would you be able to get this done?

Thanks guys you have all offered some great advise. As a newbie I need all the help I can get.

Im looking to start investing in real estate and I thinking maybe using a hard or private money lender to start out with. Does anyone have any advise or suggestions for a newbie just starting out with with hard and private money? Does anyone have any suggestions on which lenders would be the best place to start looking for financing?