- Bankers - Mark Twain said it best - they are the type that will loan you an umbrella and ask for it back the second it starts to rain.  

Even if you think the 50% rule is too pessimistic (cash flow = rent - (50% of rent for expenses, vacancy and capital) - P&I payment) at least apply the bankers rule of thumb:  cash flow = 75% of rent - PITI.  

Don HoganREALTORColdwell Banker River Valley Realtors What made you interested in investing in this type of deal?

You're not likely to make a deal there.You do what you want with your time, but I think there are easier ways to pick up a deal than greasing some bankers backside hoping he's going to give you a discount on something they had to foreclose on and nobody bought at the trustee sale.

I would think that being a mortgage banker, I may not get the same rate as the banks, but it should still be no higher than 4.5-4.6.we close by the 28th of september.Thanks,Shane

I am currently a banker and I have worked in finance for 5 years.  

Some things to expect if you search for a local bank to do the loan are :  more equity down due to being out of market (25 or 30 percent), 5 year rates as the longest fix, maximum amortizations if 20 years, and many bankers not wanting to just do one house.  

You can do two loans, a 504 for the real estate and a 7a for the business assets that are non real estate (FF&E).In general, as a banker, I'd rather see a client buy the assets and NOT the business or to give the blue sky valuation of the business an extremely low valuation.Also, a general question would be, what is the value of the business if it's being foreclosed upon?

Find a local banker that will in house the loans.

private lenders, bankers, mortgage brokers, private lenders, cpa's, real estate agents, pricate lenders, attorneys (RE, asset protection, litigation, etc.), contracts for every trade....everyone is a potential "fill in the blank"...buyer, seller, bird dog, investor, referral, etc.