All Forum Posts by: Grant Zabielski

Aww, brutal.  Ha!  I'll have to get used to that this is just business.  No hard feelings, gotta do what's best for the bottom line.  Thanks for your response!

Got it Brandon, thanks!  So, I spoke with a bank and got some more info.  Can anyone let me know if there's a better option than this:

Purchase price: $750k

Immediate renovation repairs: $150k

75% loan to value on appraisal (purchase price plus repair costs=$900k): Loan on $675k

25% Down payment: $225k

My partner pays half down payment, and I pay half down payment: $112.5k/$112.5k

Is it smart to use this much of my own money if I have it, or is there a better/smarter way? Is it smarter to use a hard money lender? Can I do a refi to pay them back like I hear about so much when listening to you guys talk about BRRRR strategy?

Looking at a property, and trying to get the numbers right to be able to purchase.  

Asking prick is $820k. It's been worked out that with $150k of renovation, ARV would be $1.2mil.

I'm told that there are some banks that will fund 75% based on the after repair ARV. 75% of 1.2mil is $900k. $900k minus $150k for repairs is $750k.

Does this mean if I can get the seller drop the purchase price down to $750k, I can essential get this property with no money in?  Or, is there a refi in this process?  Would I be putting in a significant down payment, and be paying for all the repairs, but I'd get all the money back after a refi?  

How does this process go if I go this route? Is this the best route to go?  Would you do something different?  

I've also seen a recommendation to have the seller hold a note for 25%, I'd get the 75% loan and pay the seller back over the next 20-25 years....   

Thoughts on all this?

Hi everyone!! Long time listener, first time caller =0D So, I'm making moves to purchase a 17 unit, 11 apartments, and 6 retail on the ground floor. They are asking $820k, and this property brings in an NOI of 71K/year after all expenses, vacancies, taxes, and all. I would like to do a BRRR with this, though what do I do with the current tenants when I'm rehabbing? The apartments are all fully rented, and the retail is fully rented with only one vacancy. How do I rehab with tenants? If I purchase this property, what's the best and quickest way to get it in tip top shape without disrupting the current cash flow too much?

Thanks so much!  This'll be my first investment!

Grant Z.