All Forum Posts by: Donald Banks

I'm looking for a partner, to fund my next rehab project. I have under contract a 4br., 2ba., 2,030 sq.ft. two story home in Crete, IL. Acquisition and rehab costs (including contingency fund) combined are under 60% of ARV.

Home has large eat in kitchen, master bath, 2 car detached garage, living room and family room. Can be priced below market average for quick sale. Projected 6 week turnaround.

Acquisition costs........$44,448

Carrying costs............$  2,200 (120 days)

Rehab costs...............$45,000 

Total...........................$91,648

ARV..........................$158,000

% of ARV.........................58%

Projected Sale Price $150,000 

Email me for investor proposal or if you have any questions.

Hi David,

I had not considered an equity partner. How would such a partnership be structured? I am interested in what, if any, my financing options might be in a scenario like this. This is a case where the  owner is being urged to divest themselves of their investments by their spouse

I've seen more of them as owners get older and want less responsibilities and fewer intrusions on their time.

If I can position myself to assist in a case like this, it can be a profitable long term revenue stream for my company.

In this particular case, the wife is concerned that she will be left to deal with these properties and tenants in the event of her husbands death. They are an older couple. I realize two years is a stretch.

Thanks,

I'll trade a competitive interest rate for "skin", I'm all for creative financing. I was hoping for a private investor over hard money.  I working on a flip right now, so my funds are tied up, however i wouldn't want to let that stop me from taking advantage of a good opportunity, even if it costs me a little more the beginning... 

Hello,

I am currently looking at a couple of deals on rental properties. One is a group of townhouses (3), and the other is a single family split level. 

They are all rented out to good paying, long term tenants, all owned by the same seller, and he is motivated (by his wife) and wants to sell, preferably to someone who will keep his current tenants in place. 

The properties are in great condition and need no repairs. I'm looking for some financing options based solely on the assets as security for the loan. My exit strategy is to refinance at the end of the term.

Thanks,

Thanks, but this may be a moot point as the seller is no longer being realistic in his asking price. 

It's certainly a buy and hold investment. Both houses are 2br., 1ba. One is a little bigger than the other. The lot is located in an unincorporated subdivision, and there are a number of these in this area.

I may consider splitting the lot going forward. However right now after acquisition, I'm leaning toward a 2-3 year lease option to a family looking for a related living opportunity. I'd prefer one lease for the whole lot.

I know some individuals who would be interested in such an arrangement. I also have 25% seller financing already lined up. 

Thanks guys, that a lot of good info. This gives me a few different ways to look at structuring my deal as well.

Well done...

I have a deal where the owner of two SFH's wants to sell but both homes are on the same lot. Is one considered a guest home and how do you appraise the value of each?

We have a 3 br. 1 ba move in ready brick bungalow under contract in Joliet, IL. 

 We need $26,936. Comps out at $54,900 within 1 mile. We are willing to negotiate an interest rate commensurate with our desire for 100% financing. 

We have a tenant ready to sign the new lease, can have lease signed and notarized before closing. Prefer a 7 year amortization period due in 2 years.

Would like a letter of commitment pending appraisal and inspection...

Ascension Commercial Properties Inc. 

The cost to buy into this deal is $158, 250. Profit split of $28,860.00