All Forum Posts by: Michael Ratzken

I have a client that's looking to get a hard money loan for a property in Scottsdale Az, approx 837k is the loan amount, ARV is 1.25m. The Reno is already underway should be complete in 45 days

I have a client needing to do a non QM loan due to some losses she had with a company she was an owner in, she recently sold an office building in Ca and  is 1031 it into 2 homes she has under contract in the phoenix area, what are the best no-doc investor loans out there that can close fairly quickly, and have decent fees, some we have looked into asking for 3 points, the total purchase is around 2.8 M so about 90k in fees 

Investment Info:

Large multi-family (5+ units) private money loan investment.

Purchase price: $630,000
Cash invested: $240,000

This was my first multifamily fixer-upper, In the summer of 2019 and I had just helped a client purchase a duplex, I became friendly with the listing agent of that property and asked her if she had any others coming up and was told she had a 6 unit ( 3 duplex's) property in north Tempe just down the street from the duplex. I asked her what the seller was asking for it and she said " Make an Offer". We walked the property which was in fairly rough shape.

How did you find this deal and how did you negotiate it?

I gave them 3 different offers

Cash - $570k
Financing- $600k
Seller Carry- $630k

How did you finance this deal?

Seller Carry- 4.5% interest, 20 year note, 5% down

How did you add value to the deal?

Full renovation

What was the outcome?

They chose the seller carry option, they agreed to only 5% down and for 5 months after closing there would be no payment as I renovated the property.

The renovation costs were about 210k with a 30k down payment.

The Property is currently rented at $10k/ month with a monthly net profit at approx 5k

@Geoff Salfi

Probably the only reason we got this place, we use it a lot, doesn’t always work but worth adding to your contracts

@Caleb Brown

Arv about 1.6M

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $685,000
Cash invested: $275,000

Buy and Hold 5 unit Multi-family Project

A full gut project including, plumbing, electrical, windows, roof, hvac, finishes etc

Currently rented on a master lease for 10k/month

What made you interested in investing in this type of deal?

Great Value add property in a prime location near the college

How did you find this deal and how did you negotiate it?

Found the deal on the MLS, beat out 14 other offers using an escalation clause

How did you finance this deal?

commercial loan

How did you add value to the deal?

Renovated the entire property

What was the outcome?

Have a great property worth appox 1.6+ M that is bringing in 10k/month

@Ryan Swan

We rent to fraternities and rent out the entire complex to them, our rents are different then standard one off rents, we charge per bedroom

I am currently purchasing a 6 unit complex in the heart of Tempe near the ASU campus. 4 of the units are 2/1's with the other 2 being 1/1's I'm thinking on combining the 2, 1 bedrooms unit ( the are right next to each other) and adding an additional bedroom thus creating a 3/2 which will bring in an addition 9k yearly in revenue if we kept the units as is. Am I missing anything? Is there a downside to reducing the number of doors?

@Michelle Pauley check out Maya on camelback and Miller

Hey Eric 

I have you covered in Tempe! I’ll send you a message