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25 September 2024 | 20 replies
I have read many articles on the types of real estate investment strategies like wholesaling, buy and flip (and buy and hold), structuring deals for no money down seller financing and even investing in notes!
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25 September 2024 | 4 replies
Were you successful in setting up this structure and keeping the loan without triggering a due on sale clause?
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25 September 2024 | 7 replies
Yes, you can; this strategy is called pooling and it also adds a tremendous tax advantage You'll just need to make sure the entity pulling and disbursing the capital is structured correctly for its maximum benefit
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27 September 2024 | 40 replies
Caught the flag on the first sentence "given the loan terms verbally" - Pretty much all the "reputable" DSCR Lenders will give out a detailed term sheet / pre-approval letter / LOI (many different names but same thing) outlining terms and approvals early on in the process - the good news is that if you haven't closed yet you can still switch lenders and see if you can secure your original terms - also good news is that the appraisal, while likely ordered by the lender or broker is in your name and your property, so you can likely transfer it to the new lender
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26 September 2024 | 7 replies
These loans come from professional private lenders, are more structured, and have higher interest rates (8% to 15%) with shorter terms (6 months to 3 years).
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24 September 2024 | 4 replies
I am just curious how most structure their payment process when receiving and paying rental payments, vender payments, etc.
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26 September 2024 | 13 replies
It can be a great alternative to traditional bank loans, offering flexibility in terms of both loan structure and timelines.
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23 September 2024 | 4 replies
What types of funding structures have you found most effective for scaling your real estate portfolio?
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24 September 2024 | 6 replies
Thank you Ned, that is exactly right, we actually check a condo/townhouse about 2 weeks ago, the thing was a condo with a basement, I cannot tell if it was a condo or townhome, anyway, the ceiling in the first floor was bowing, the 2nd floor, one of the bedroom was sinking, could not tell how this damage was done but the walls came apart from the floor, you could see the roof of the unit bowing inwards towards the structure a bit, and their "general contractor" estimate that for 5k they could straighten the property and level everything, even 1 window and 1 door looked so uneven that you would think there was something wrong with your eyes...5k for structural damage, good luck with that one, we ran as far as we could from that....but we have seen they do inflate their ARV, since we learned the hard way , we go through these deals with a magnifying glass, I knew I was not so picky, numbers do not lie.Another thing that caught my attention, which I do not know if I am overly suspicious now that I am older, but they want to get the closing for us at the same time/day they are getting the property from whoever they buying it, which it seems to me they try to save on the closing by having a "dual" closing when in reality is just 1 closing and we are the one paying for it...I do not know there are few things that do not click right with this folks.
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24 September 2024 | 5 replies
Additionally, they may include a carried interest or promote structure on the back end, which serves as an incentive or commission if they exceed performance expectations.Limited partners (LPs), on the other hand, simply invest capital and remain on the sidelines.