I intend to send my letter of intent later today on a local property. Though I have no capital, I am hopeful of finding a HML that is willing to lend around 123k.
I score 643/649/689.
I’m purchasing from a wholesaler, I think… There asking 109k, but mentioned room to get property moved.
Comps are 150-160, though they mentioned some @ 180k.
Just down the street they are building new @ 300k. I’ve talked to the Realtor & they are building to suit. No advertising has taken place (Realtor is planning ramping up advertising after models are complete in 4 months) and 4 props are already sold. 17 are planed total.
My intentions are buy & hold (rent) for a year & lease with option for a 12-24 month after that, To get full benefit of the newer homes just 4 doors away.
As said above I have little to no capital, but annual is around 58k. I am hoping to offer 97.9k & finance closing/carrying/rehab. Is this going to be possible? Would the seller accept that low of an offer? They said they would like me to get started with them & continue my business with them, but do they really care that much? I have nothing solid, but I think they paid somewhere from 64-75…
I have had a GC walk through with me & gave me a basic cost of 15k thats labor & material with a turn around of about 3 weeks. I am expecting an itemized list in a few days.
The house now is a 3/1.5 @ 1366. But it has a large space that is unused. My GC & I think we can get 3/2.5, It also has a 1 car detached with large separate workshop. I think total lot is about 8k sqft.
Looks like I maybe losing the deal. I’m not able to find a lender that likes the word “assignment”. How the hell is this possible? Are all properties procured through assignment “cash deals”?
My wife & I have exhausted ourselves talking to lenders & they’re pretty much done talking when they find out it’s through an assignment…
Wouldn’t I still be buying from the original owner? And the whole-seller that I found the property from just get the difference of what the owner wants & what I pay? I’ve researched the whole-seller & they have pages of assignments in my county.
A friend just got 100% of 80k with a conventional on a duplex & he has a considerable lower score.
You said you’ve been exhausting yourself calling lenders…
I see why you’re frustrated. You should probably call one of the brokers who post on this site. They can do all that exhausting work for you of calling lenders for pricing and possible loan scenarios. Most of the guys here are quality and should be happy to help you. Good luck, I know your financing exists, you just need someone to hlep you get there.
Well… The House sold today.
The buyers probably had a contract in for a few days, and the “assignor” wanted mine as a backup. I think I’m going to take a breather & regroup in a month or so.
Yea Mark, I’m with you on the Broker thing. My wife & I just though this was an easy way to cut costs on the first one out the gate. Maybe we should have tried the Broker first & on the next used what we have learned.
O well, I can’t put a mill in the bank with just one property. Its going to take many, I just need to find that “one” to start with.