Hello to all the smart and experienced investors in the forum I would love advice and ideas for financing a deal that has closed…
Hello to all the smart and experienced investors in the forum ??
I would love advice and ideas for financing a deal that closes in about two weeks:
2 properties that are located next to each other, each property has its own parcel and there is also a garage in a separate parcel that I can choose which property to associate it with.
The plan was to do a flip with a partner and even though he is out of the picture I am interested in continuing the deal.
The challenge is that I have no capital for the deal that includes the 2 assets and the closing in about two weeks.
I have a sum for the purchase of the 2 properties but not beyond that (renovation and maintenance).
- The transaction is conditional on the purchase of the 2 properties.
These are the options I see:
1- Recruit an investor for the transaction that includes the 2 assets and invest together when I manage the project.
2- Same as in joint management.
3- Raise an investor for the other asset when I invest in one asset.
4- Purchase the 2 assets and continue looking for an investor / s.
1- Recruit an investor for the transaction that includes the 2 assets and invest together when I manage the project.
2- Same as in joint management.
3- Raise an investor for the other asset when I invest in one asset.
4- Purchase the 2 assets and continue looking for an investor / s.
5-Purchase the 2 properties and try to sell one of them Off Market after closing.
6- Take a loan for the cost of renovation and maintenance (I would be happy to refer to private landers for those who have).
Do you have any more ideas?
what would you do?
what would you do?
* In the photo, another property that is in the final stages of renovation in an excellent neighborhood in a suburb outside the city of Pittsburgh.
Darling . It is difficult to answer because there is not the full data here. What is the value for sale what is the profit and how much the renovation. Have you made such renovations before?
Today the retail banks raised the interest rates on fix and flip but from what I understand you have money to buy
If you believe in a strong deal!
I would- buy both but one in balloon loans and renovate the first seller and go into the second.
It is now cheaper to build more than one property so that within the budget you can execute the 2 transactions and most importantly successfully
The most realistic thing is perhaps to buy, renovate the first, sell, produce a comp for the second and then renovate?
I would love to get the details in order to test the viability. Contact me
Send me the details by email You have me I am a wholesaler in the area and I have buyers there some flippers maybe they will come in with you in tin or buy it from you
Dear Sarah, first of all - a blackmailer?
We have given you good advice here, you have many options.
I would recommend (after checking the numbers of course) that you go for the option * that you sleep best with her at night *, and not necessarily because of high profit.
If, God forbid, the plan does not materialize for any reason, such as a renovation that got complicated / took a long time / expenses went up / a contractor who left in the middle, etc.
That you do not find yourself in crisis.
As a tool for making the decision - you can do 3 scenarios for each option listed here:
➕ Optimistic and successful scenario
✔️Reasonable medium scenario
➖ Bad scenario.
Literally make a table of scenarios in each option that makes sense to you, and make a decision.
We are here for you for any question / consultation?
What about option # 7?
Have you tried to think of a loan in Israel? The interest rate will be cheaper than a loan in the US (usually ..).
It all depends on the numbers, if the deal is good, move forward with it and deal with the process (not in the section of you visited but in the direction of development and growth).
Put yourself in the position of "must do" conferences for the deal (again assuming you checked and it is indeed good for you) and you will see that you will find the way.
Successfully
We would love to hear details
Buy one and sell the other to the investor in the wholesale sale (if the numbers are good in both deals). Good luck Sarah !!! Well done, from Brooke !!!
Have you considered a Hard money option?
What is the cost of the planned renovation? Is the cost of the renovation over 50% of the value of the property?
What is the cost of the assets? What is the expected profit in the overall transaction on both assets? How long is the renovation expected to continue? Do you have a final quote for the renovation? Does the contractor also include in the price the cost of the materials? What is the margin of error in the transaction?
Do you have an agent who sells the finished property and is willing to show CMA with good prices?
Try to sell at wholesale or give up
At the moment there is no certainty about anything: and if you get stuck with the property and it will not sell? Remember at all that a lot of investors try to ignore it: the profits are only on paper since in a flip deal that so many factors are out of your control… I would give up and wait patiently. There are always good deals and the situation right now is really unclear.
Moshe Orange
Do not give up on the deal if there is more profit in the sale after renovation
I would be happy to receive more information in detail, if it is interesting it will not be difficult to make a deal
Daniel Nissim
Must be backed up in some way so that at the sale you will surely get your share
Offer the owner that you will pay for the renovation and after the sale you will share the profits
I vow if you need. Which Country ?
All options are good, of course there is a possibility to sell their sleep for a commission. Act as a wholesaler. I would drop out of option 2 probably if the partner is unfamiliar or you have experience with it.
Deciding which option to choose is a combination of the time element, and the attractiveness of the deal. I do not think there is enough information here to make an unequivocal decision
Good luck of course anyway