All Forum Posts by: Matt B.

If I had $1,000,000 liquid capital readily available to invest, Id invest in the following:
- 25% privately lend
- 12.5% investing in performing notes
-12.5% SF/small multifamily Flix & Flip or BRRRR
-50% put towards a stable and operational commercial property (probably multi-family since the future of office spaces is looking a little bleak.)

Thanks everyone for your helpful answers. I'll continue to do some research on the area before making any hasty decisions

Hello BP members,

Just interested to hear from some people who have more experience or had their own success (or failure) in the Detroit metro and northern suburbs area. 

I've had a brief look and everything appears to be either forclosed or at deep discounts

Because of this I'm not sure if their are a lot of buyers or renters. I spoke to a friend from the Detroit area, his words were

"metro area is pretty run-down and isn't always safe, but if you go north of it you can find some nice areas"

so, just trying to see what other investors or service providers think of the Detroit market

Thanks

I'm from the west burbs of Chicago and am always looking to make solid connections and invest in (and around) the Chicago land area. I'm currently overseas at the moment.

@Dawn R. You are welcome to message me, I'd be happy to learn more about your property

It really depends on your financial and Job situation, as well as what exactly you are moving for. 

I'm a big advocate of traveling abroad as I believe it generally opens ones mind and allows you to see things from new perspectives

im in Shanghai at the moment but would like to go to a number of places in & out the continental US

Hard to break into that unless you are familiar with the country and people you are trying to help. Being billingual is a big plus too

America is a bit different since everyone has a different ethnic background and foreigners are as common as the air we breathe. But middle eastern countries and Asian countries where the predominant race is their own people (example China), they are much more likely to work with local people who specialize in this field as opposed to a foreigner who doesn't speak their language.

In the case you are familiar with another country and can speak another language. I'd suggest networking with locals and other foreigners who do similar work in the financial center(s) of that country

any questions don't hesitate to ask

There are some grey areas for this. You can work with a fund, often time they will help transfer money for around 2%, however I have heard of people doing it for less. I've also been quoted 7% before. $100k isn't that much however, so I'm not sure they would work with that amount. They often times look for 1 million or more.

It sounds like we do similar work. The other way would be through an oversea country. depending on the country, it may be easier to send money. Many Chinese will open a company in some South East Asian countries, transfer the money to the newly registered company and from there transfer it to the US.

Ex: China -----> Singapore ---------> USA

you're welcome to message me if you have more questions.

I read in an article recently that a lot of private lenders have flexible terms and many will even do JVs

from my own experience of speaking with private and HM lenders this hasn't been the case. 

have any more experienced or knowledgeable people here in BP ever done a JV with lenders? is it a common service in the lending world? I'd like to learn more about it if possible

I'm looking at new deals and I'd like to acquire one of them via seller financing(SF).  Get SF from the owner wasn't the hard part, especially if they've had some sort of motivation.  But the last time I took it to the banks with 20-30% SF, the lender(s) didn't allow a 2nd position on the property, even if they were in first position

Is this a common occurrence, lenders not allowing others, more specifically owners providing SF, to take a 2nd position? 

Am I structuring it incorrectly?  I thought 65-80% lender financing + 20-35% SF would be suffice.  Or is the structure fine, but its just more of a numbers game and I need to find the right lender? 

@Dave DeMarinis - this is a commercial deal, nearly 20 MIL. I have long-term convential comm.  financing lined up and looking for the last bit.  So I would go with the first option