All Forum Posts by: Sachin Bhat

@Craig Jeppesen Why am I not going with traditional lender? Because I don't want to wait for seasoning period of 12 months. They still lend me even during this time because of my fico score, but with different terms. I am only upset as they didn't tell me this terms before I paid for the appraisal. If your fico score sucked they wouldn't have even gave you an option. 

Thank you everyone for your input I really appreciate it. At the end of the day everyone has to watch out for themselves. And lima one is doing exactly that. I just wish they told me this just little sooner so I didn't have to pay that $600 in appraisal fee. I am looking into option B which is to sell the duplex and cash out. I am a buy and hold investor. But sometimes we have to change our strategy according to the situation to Survive. 

@Carl Crump They quoted me 6% 30yr fixed.

@Russell Brazil I am very well aware of what's going on in this country. And I am also flexible in terms them changing their loan offers. Thats why I agreed with them to charging me 12 months of PITI upfront. I have no issues. But they still making me jump hoops and not closing. Did I mention my Fico is 797 and I have reserve in the bank? If they can't close just be upfront with me and don't waste my time or give me other options like short term loan until this mess is over. Thats all I am asking.

Hello bp family,

I have a duplex that is completely rehabbed and ready for rental, I wanted to take my equity out so I can purchase more rentals. So, I contacted one of the private bank and they gave me their terms. Since it wasn't conventional loan their fees and rate etc are little high. But I was ok with it. I filled up the application, sent the necessary docs that they requested and paid $585 to get the appraisal done. With in a week appraisal came in and its was higher that what I was anticipating. They pulled my credit score that is also better that what I told them. Then I get an email from the lender saying they wont be able honer the initial terms and here are the new terms. If you want to move forward let us know. I am little upset as if I knew about their new terms I wouldn't have paid for the appraisal. Is this something they are allowed to do? Since they weren't up front with me on the actual terms until I paid for the appraisal should I ask to refund the appraisal fee? I told them I am little upset up I would still want to move forward with cash out refi. Now they need second appraisal. Does anyone had similar experience with any lenders?

Bank name: Lima One

ARV I told them is 130K. Appraisal came in at 150K

My Fico I told them 740. They ran my credit and its 797. So I don't really get why they are making it difficult. I understand its Covid19 situation but they also charging 12 months of PITI upfront. So they are minimizing the risk considerably. What do you guys think. Thanks in advance.

@Dustin Mathenia I can certainly can get better hard money rate and terms than 12% and 3 points. You are right. They would want 50% of the deal for just giving you the money. I think giving them 8-10% return for their money and 20%  equity in the deal is a good offer. But like you said it wold depend on investor and also how many deals I can get done with their funds. I appreciate your input. Merry Christmas. 

@Dustin Mathenia Thank you. But I was hoping to get an example of someone who has structured the deal when they used private money to purchase an investment property. If the person who is providing the funding not active in the deal and only involved in terms of lending the money how do you structure it. What rate do you give them? Do you give them equity from the deal? do you share part of the monthly cash flow with them? etc etc

Hello everyone,

I am BRRRR Investor in Indy market. The seasoning period got me dry on cash (downpayment). I am looking for cash (equity) partner who will be a silent partner in my deals. I will be using the cash for down payment on purchase and some for repairs. I wanted know your expert advice on how to structure the deal so it's a win win for both of us.

I will be buying rehab properties and doing A to Z work on my own. Finding deals, finding, hiring, managing contractors, marketing, renting etc my partner will be just put the down payment and repairs costs. I will be using the funds only for 6 months. Then return it back to them. What are some of the way have you structured this time of deal situations? Thanks in advance.

@Michael Malmrose invest in large multifamily apartments if you can. You can leverage the power of scalability and syndication.

@Christian Nachtrieb You are welcome. Keep educating yourself and stay in the game. I wish you the best in your future endeavors. 

@Jaysen Medhurst Yes that's a possibility. Thank you for that idea.