We do not play games with the bank our funds are hard cold cash. We can show cash in our escrow in your name for as many days as you need it to be seasoned that the bank can verify you have funds to move forward. At the time we put funds in escrow you will need to put our fee in escrow at the same time because we do not provide funds base on contingency.
From REI Club Glossary:
Transactional Funding - Short term financing or a bridge loan you use to buy a property. Investor arranges for a short-term loan to fund the purchase and then resells the property to earn the profit margin, using the proceeds to repay the loan. Generally done within 45 days and issued in the name of a business entity. Generally less expensive than traditional hard money loans and costs of borrowing are assessed by paying points and processing fees.
We work with title/escrow that allow double closing and pay close attention on what we want done.
How can a new investor find start up money for transactional funding fee’s if he can get seller carry for down payment and fee’s at the closing table.I will need the money probably for 3-6 months or from start to close on a commercial property deal that i will be keeping for long term investing.
I guess I’m lost on what your trying to do.
Do you want to use transitional funding to show as your down payment,but your really getting the seller to hold a second note that will be the amount of the ‘down payment’
I have to admit I heard a lot of scams, but if thats what your doing, what will end up happening is the fee for the funding will be paid, the bank will figure out whats going on, and the deal will fall apart,except the transitional funding company will have its fee,
am I missing something
ok.I’ve been mis-lead.What is the best thing for a new investor to do to get started with very little start up money in his company to acquire commercial property to hold on to for long term investment. I don’t know much about flipping Houses.
What should you do? Cut down to the bare minimums on expenses and work your friggin butt off until you get enough money to get your first deal. You can try all day long to get someone to let you have a property with very little to no money down, but the reality is that it probably won’t happen that way since you don’t have experience yet. Sell stuff, downsize, etc. Do whatever you have to do if you want it.
You should be aware that commercial property can stay vacant for a very long time. There are a lot of empty storefronts out there now due to the bad economy.