Posted by Michael Morrongiello on June 04, 2004 at 23:19:47:
In Reply to: HOW STRUCTURE 7 FREE AND CLEAR TOWNHOMES posted by ONEAL HODGES on May 31, 2004 at 12:50:27:
You don't want to try and obtain financing from a traditional mortgage lender to purchase these 7 townhomes that will used for rental purposes...
Get the seller to come clean with you and put on the table how much cash they really NEED not want at the time of closing. The sellers willingness to carry $75K is nothing, as apparently they are still wanting for you to provide them with $365K in cash which is an unrealistic 83% LTV based upon the $440K sales price.
What do you have to put down? How is your credit? I believe that the seller must come down to earth and be willing to carry MORE of that $440K sales price and the more the better as it will then drive down the 1st lien exposure level.
So talk to you seller and find out what the true needs not wants are....
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