Need 80% financing on a 34 unit complex

Financing, Hard Money Lenders, Private Money
1

I need 80% financing on a 34 unit apartment complex. The seller is willing to carry a 25% second. Any suggestions on who might be able to do this?

2

80% + 25% = 105% but you knew that, right?

What’s up with the other 5%?

Also, the lender may balk at this…they like YOU to have a vested interest in the deal (which it appears you will not…) but, someone may do this…

Keith

3

I am hoping that the other 5% would help with the closing.

4

You can (probably) get the 80% loan, but highly unlikely that you can find a lender who will allow 105% financing. Also, Keith is right- commercial lenders almost always want you to have a vested interest in the property- ie, cash down payment.

5

You are looking for 100% financing plus closing costs? There is no lender that will give you those terms.

Your best option is to have the current owner do all the financing for you. I’m sure the current owner won’t like that option because once again you don’t have any vested interest in the property.

The most that seller can carry back is 7.5%, with a 85% from the lender. That leaves you bringing 7.5% plus closing costs.

Regards,
Patti

6

Thanks for all the input.

The property has a contract on it, so I think I will move on now…