All Forum Posts by: Michael Clay

@Account Closed She will be financing all of the repairs. I walked the project with her so I know the SOW. 

Thanks for your input!

@Adam Schneider Extremely helpful, thanks!

@Jeff Rabinowitz For that reason, I kept my ad extremely brief and didn't mention any specifics. Great idea,  I'll have an attorney verify that I'm in the clear. Thanks!

@Frank Y. Great tip!

@Shiloh Lundahl Great to hear from someone on the other side of the transaction. Much appreciated!

@Glenn Hull Thank you very much for the advice! Very helpful!

@Van BlackmanThanks for the knowledge/advice, sir! 

I'm only providing the money to purchase the property, they will be funding the rehab. Because of this I asked the them for all of their financial info to prove they can fund the entire rehab with a good chunk of money left over in case something unexpected comes up. 

@Chris Purcell I like to diversify so I've been wanting to test out HML for a couple of years now. I'll still be able to buy my own deals.

@James Palassis Thanks. I'm going to put a balloon payment on the loan. They expect to be done in 6 months so I'll do the balloon at 12 months.

@Jeff S. Very helpful insight. I put up an ad advertising hard money and the potential lendee reached out to me. I met her at the property yesterday. Her and her husband have their GC license so they have done some flips in the past. I asked her for a credit and background check, a copy of her financials, examples of a few of their previous projects, a breakdown of their scope of work including prices on each portion and comps to justify their expected sales price after the flip.

I'm an agent so I've already looked into the comps and I'm satisfied with the deal. 

Reaching out to a lending attorney is excellent advice, otherwise, I would've just called a closing attorney. 

Thank you very much!