Burning bridges instead of building them.

It is basically a bridge loan.

You can DM me for the details or just search Minneapolis Real Estate Investors Meetup or Bridging Tenants and you should be able to find the event.

@Brady Mullen and when you mention the loan and financing, you didn’t mention the rate cap, which today is an outrageous expense that is sucking most, if not all the profit out of deals that have been done in the last couple of years. the bridge loans that are coming to maturity are the ones hit hardest.

We agreed to do a bridge type loan, 18 months of interest only payments at 4.5%. 

If the property needs significant work, you might want to look into short term bridge loans instead. 

I'm seeing a few more stabilized bridge programs as well to refi and hold for a bit to see what rates do.

Maybe find a happy medium where the seller's willing to reduce and the buyer can bridge the new reduced gap via cash to the table.              

@Daniel Hyman - I'll try to check into that with my agent some more, but I don't have a lot of hope that's the issue@Jeff Bridges - I completely agree.

This is especially troublesome on the commercial side of real estate where bridge debt was used, interest rates and interest rate caps have skyrocketed.Have your rent projections changed?