trying to avoid the scammers but i need help

ineed finnancing for my pre forclosure 42 unit apt. Owner has agreed to a lease purchase with option, bank has offered an interest only loan for 2 yrs while we get units ready to rent if we can come up with 30k back interest Talk to a guy today said he could find me 100% finnancing if i pay him 3k as a consulting fee, i offered 6k if he took fees after he did the deal he said no, so i know theres some real hard money leanders out the can help me come up with at least 50k for cosmetic repairs and pull this off anybody (lenders too) have any ideas?


I am not really sure where to start with this one!!!

You have a 42 unit property that the current owner has missed 1 to 3 payments on? (Pre Foreclosure) He has offered to let you take over the property with a lease with an option to purchase? The bank that own’s the 1st TD has indicated they will carry the paper forward for 2 years if you can come up with the interest due in the rears to the bank?

Hard money lenders want to be in 1st position, therefore hard money would be the current amount owed on this property plus $50k, however no hard money lender is going to come into this without you having “Skin in The Game”! Any lender is going to want you to have 15 to 25% down depending on current owner carrying a small 10% owner carry 2nd.

In this case you are saying you can buy it for what’s owed on it, so an owner carry is out of the question! You will be expected to have 25% roughly plus closing cost’s!

Now if you don’t even have $30k or $50k to put in, you sure won’t find “Hard Money”, “Portfolio Lenders” or “Conventional Financing” without having money down and closing cost’s.

I am guessing you don’t have apartment experience as this posting basically tells the tale?
Are you sure the property is even worth what’s owed on it? It may be worth less than the current mortgage depending on rent rolls, condition and expenses?

Don’t bite off more than you can chew!


I agree %1000 with Gold River…You don’t have any capital and you want to be involved in a property that you need extensive experience and capital…huge mistake…

This is why most people start in residential and move up later to commercial when they can. What happens if you find you need to quickly get out of this apt complex? How big do you think your potential buyer pool will be? Not very big.
Like Rookie said, you need money to play in this arena. This is not something you should be jumping into after reading a book or attending a seminar if you have no experience.

my husband and i had 22 properties we lost them all thru identity theft and other issues… in the process we lost all and our credit is shot … can anyone assist in how to go about getting business credit, building a corperation and buying commercial?


You can visit to find info about how to build business credit. Forming an LLC is easy and affordable, but you need a good operating agreement. Even so, it will take quite a bit to get to the point where your LLC can get loans on its own with no personal guarantee. We own a significant amount of property and have always guaranteed the loans with a PG. Sounds like that part would be a problem for you right now. Lenders are much more cautious now (as they should be) so you can expect your credit to play a huge role in what lending does or does not happen.

ty juston0419 for your respopnse we will look at…any other advice you have we would greatly appreciate…ty

ok guys didnt come into this deal being ignorant of the game, we own a restoration company (that operates in 3 states )that has establish a facilities managemnt division, before the real estate market change these deals were easy to do but thats no the case any more . I was hoping for some creative ideas being that we hadnt purchase a property since 2000. As for the cash into the deal it sitting in escrow but because of the willingness of the bank and the owner i was trying to find one more nugget here to get it done. So what im hearing is you dont think this can happen without help from my cash thanks for the honesty( wisdom is worth its wait in gold)