They were chroniclaly late and behind on their 5.125% interest rate $363K 1st lien FHA Loan obtained 6-14-2018 which had paid down to around $318K.

I just keep seeing more and more pop up for sale at insane prices. 2 bedrooms for $725k that were last bought in 2022 for $695k using a HELOC on their primary to fund the down payment.

The current loan balance is $235k with a 5.12% interest rate.

Sellers are responsive to mortgage rate declines and lower rates could further boost listings later this year. 

But, they’re fine with funds coming from a JV.I’m guessing that someone on BP has already solved this?  

@Andrew BrownI'm in the Reno Tahoe, Nevada market and we have tools that rate every property in our local market for cash flow potential.

If you were a bank/lender and an investor wanted to borrow funds on a property with several moving parts (actions towards repayment) what would you want to see from the applicant? 

Normally, the cap on seller concessions is 6% of the sale price, but that’s not the case for commercial loans.Here are the trade-offs:5-year stepped prepayment: A typical residential loan at this price point isn’t allowed in the state, but with commercial, those rules are different.20-year amortization: This means higher payments, but it forced me to ensure my deal works under strict terms.Interest rate: It came in at 7.9%, not stellar but still good.Overall, I’m pretty proud of this deal.

Winters can be tough so we use airDNA to get a sense of the Average Daily rate and occupancy for the year.

@Jason Hallett If you're just buying RE outright and not remodeling, adding value, or forcing appreciation you will run out of funds.