All Forum Posts by: Mitchell Pollard

@Tj Hines Nice hack TJ! I always thought loopnet was where people posted bad deals, that that sounds like a great strategy to network! Thanks.

@Austin Andrews Thanks Austin. Based on my studying it seems like commercial brokers are the gate keepers! And you’re echoing it here so that’s definitely my next move. Thanks man!

I thought the hardest part of syndicating would be raising money. But now that I have the verbal commitments from private investors, I can’t find a deal! (apartments: value add & turn key) Any tips?

Hey BP Fam! I’ve stumbled upon some commercial real estate opportunities and it lead me into really diving into the knowledge and background of commercial. I am a licensed realtor in DC, MD, & VA. Who here has experience in syndicating deals? Selling apartments? Or is a commercial broker (especially in the DMV) and can you share an experience (mini deal deep dive) on a commercial deal (10+ units).

@Caleb Heimsoth Thank you. Wrap arounds did come up in my research but it does seem very risky as the seller could take my monthly payments and not pay the original mortgage. Theres really no way to make sure they pay the mortgage. Hmmm.. Ok. Thanks man. I really appreciate it!

Ok, I have browsed the internet, asked real estate professionals, and dug through my real estate investing books but I still cannot fully grasp the concept of seller financing from the position of a buyer looking to invest in a rental. Here's my situation.

I am a new investor. I don't have a ton of cash and I already own my primary residence and will not qualify for a conventional loan to buy a rental. I have identified a great opportunity to buy a rental, but with my financial position I need to be creative with how I buy. I plan to offer $72,000 for the property. The seller owes $42,000 on the home. It is currently vacant but rents for about $1,200/month. I am looking to work out a seller financing option to where I can put down about $15,000 and make monthly payments of about $400-$500, while renting out the unit for market rate. 

My questions are:

1) How do I structure this deal? (I know I'll need an attorney)

2) How will the seller's current lender be involved?

3) Do I need to get a bank involved?

4) What are my options on exit strategy? (paying the seller off and possibly refinancing)

5) Where would I make payments? Directly to the seller or to a 3rd party? What is that process like and does that 3rd party cost?

I am in the dark here. Please Help!

Don't know much about Bay Area. But I do know this about DC. DC is truly a unique market. Only about 9 square miles, the supply is low. What make the supply even more scarce is the fact that developers have a limit on how high they can build their buildings. This means that unlike any other city who can increase supply vertically, with sky scrappers, there is a cap on DC inventory. Which means the demand will always be higher than supply. Perfect recipe for appreciation. 

Originally posted by @Kelvin Tam:

@Mitchell Pollard both ways can work. Ultimately you need to understand your geographical location of your investment. If there're more demands than supplies, you could go deep. If it's the other way round, you may try wide. There is no "sure thing" in investment. It's a risk which should be a calculated one and manageable.

 Kevin, you're absolutely right. I am trying to avoid analysis paralysis so I just wanted to get a few other opinions. Im going to test one tactic for some time and measure my results. Thanks man!

Hey BP Community, I am just getting started in my investing career and am looking for a bank that does cash out refinancing for BRRRR deals. Can anyone recommend some banks that offer cash out refinancing in the DC Metro area (MoCo, DC, etc)? Your help is sincerely appreciated!

@Ehsan Rishat thanks for the insight!!