we need help after a year trying to get into commercial,we're running out of time in contract on an office warehousecondo and have gone through 1000s of pages of paperworkwith a CDC/SBA/Bank and received contingent approval,but got a screen-out on a SBA 504 resetting the clock.we're running out of time asking for a 2nd extension,offered our earnest money and trying to figure outhow to close this deal in 3 days or less than 3 weeksif the extension is accepted?

A client of mine has extensive experience with this lender, but I don’t.

I have extensive experience in this area and can tell you it is the best investment for buy and hold right now.

Our agent got verbal agreement on escrow extension to 45-day.

You are going to want to have some building experience or hire someone that has extensive build experience.

There is no ability to obtain an extension, so if you are not able to close within the 180 day exchange period it becomes a failed 1031 Exchange and taxable. 

Even a user buyer would want an incentive to buy a property needing extensive rehab.

It had "good bones" even though it looked a hot mess and after extensive weekend work, we were able to get it rented out by decent people who really enjoyed it.

Hate to say this but you’ll have to prepare for the worst and for landlords that’s an extension of the moratorium.

Deal:ARV of $143KPurchase of $75KRepairs are $25KTotal capital is $100K (70% of ARV remember)Turn around is 4 months Draws 8 This is what the Hard money lender terms would look like;LTC (loan to capital) 80%Term 6 monthsInterest 12%Points 2%Misc fees $1500(add ext fees if extending if not ideal stuff happens for an example ) 2 points for 6 month extensionInspection fees of $175 each (remember an ‘inspection’ for each draw to make sure you’re doing the work they think you’re doing with hither money)Now if this flip takes 4 months, here are the total carrying costs;Total loan amount cost $100K (.8 how much lent ) = $80K The two points at 1% = $80K x .2 (for two points) = $1600Interest so the amount lent of $80K x .12 (12% interest) = $9600 in interest (the total ANNUAL interest) so to carry that for a total of four months would be $9600/12 = $800 in the deal for 4 months = $3200 in interest payments Inspection fees cost (remember 8 @$175 each for each ‘draw’) = $1400Now if you didn’t exit the deal in 4 months and added the extension of 6 months you’re adding in the points for the extension (avg of 2 points per 6 months) So points $1600Misc $1500Interest $3200Inspect