I am in Texas and have been eyeing 2 properties. One is a fourplex and the other a triplex. The potential rents are verified and there needs to be very little work done to make them rent ready. The potential net cash flow after all expenses is $200.00 per unit per month. I don’t have a lot of ready cash so I want to buy them under a Contract for Deed for a short period of time from the seller, who had it listed for a few months, but is getting impatient.
I am willing to offer full asking price for his units if he can agree to the CFD. This contract would only be subject to the inspection, title transferability and the appraisal coming in at or above the sale price, and of course, my attorney’s review.
My question is, can I get the multiplex refinanced at 100% from a Contract for Deed?
Has anybody done this before?
If so, what out of pocket did you pay? For what expenses?
Can you reccomend any lenders that do this?
Are some lenders forcing borrowers to pay a percentage to finance from a CFD, similar to a new first mortgage?
What is the seasoning period to refinance from a CFD?
Any help or information is greatly appreciated, I know that there is a lot of Brainpower in this forum.