All Forum Posts by: David Levin

Hi All! I would like some feedback on structuring a deal. Here is the scenario:

Purchase Price - $525K Seller pays closing - Total to close is $131,250

My Investment is $50K (plus reserves if needed) - I also did ALL lifting to acquire the deal. 

Partner 1 - $50K 

Partner 2 - $35K

What would be a fair split? 

Thanks!  

@Evan Polaski good to know. As always, I appreciate your feedback. Thanks for the info!

@Evan Polaski Thank you for the reply. Excellent info! Another question: Would getting higher rents by way of Sec 8 play a role in the appraisal since they are technically not "Market" rents? Thanks. 

Apologies. 6 unit. Comps are solid with some selling for that range some less but collecting less rent. But I am valuating it at a 10 cap. Comps are mostly 9.

Hey all. I could use a little feedback here. The situation:

I purchase a 6-unit MF property under market value and increase rents, currently $100-$150 under market. There is no deferred maintenance. Units could maybe use an upgrade if I wanted to go more modern but really unnecessary. They are clean and in very good condition. So, basically, no rehab. If I go hard money to purchase, could I do a cash out refi without having rehab involved? 25% down.

Purchase $350K 

AS Is Value $430K

After rent increase Value - $550K 

Thanks!

Good info Kyle. Thanks for the feedback! 

Thanks for the feedback Jeff. That all makes sense. I guess my dispute is that there was no need to run the credit if they already knew they don’t to multi family. Will this temporarily affect my credit? Yes. Is it a major deal? No. But still shouldn’t have been run. Anyway, I appreciate your response. Thanks again. 

Hey everyone- 

I signed a term sheet and app with a private lender. Then they ran my credit, which is in the high 700s. We are rolling! But the next morning the broker shoots me an email. It reads 

"I am really sorry but underwriting didn't realize that this was multifamily yesterday afternoon when they reviewed the file. They said this is a loan we won't be able to do right now. I should have been more clear with them when uploading the file".

Insane. Anyone ever had this happen? Can I dispute the hard inquiry? 

I put tons of phone calls and emails in to lenders. These are hard money lenders. Some require some don’t. No penalties. 

Excellent. Thank you Jen!