OfflineOk I have found a property:
6 units fully occupied with section 8 tenants. Asking 300k property appraised at 320K. Owner is willing to hold 35% and I have a private lender for remaining 65%. Owner has agreed to terms:SELLER FINANCE: $105,000
INTEREST RATE: 5%, AMORTIZATON TERMS: 30 YEARS. My question is... Can I use a commercial purchase and sales agreement I have found online or do I have to hire and attorney to put together the contract? The property is located in Connecticut
Set a goal to achieve something that is so big, so exhilarating that it excites you and scares you at the same time. It must be a goal that is so appealing, so much in line with your spiritual core that you can't get it out of your mind. If you do not get chills when you set a goal, you're not setting big enough goals." (BO Sundberg)
Vicky Diaz
Congrats Vicky!!! I know that Shelia just closed on a multi-unit. If you can find your answer then, maybe you should PM her. She just closed on a multi-unit herself and her link is below. Congrats again! Keep us posted on the future success!
Shelia
http://www.deangraziosi.com/users/ccsmom3
the contract with all your terms, conditions, and contingencies to an experienced RE attorney and ask them if the contract complies with state law, is worded properly, and contains all the necessary protective clauses.
They should be able to help you. If they say something in there can't be in the contract and you need that clause on the contract to make the deal work, get a second opinion.
Hope this helps and everything goes well!
RENinja
"Remember, success is a journey, not a destination.
Have faith in your ability."
Bruce Lee
Well Vicky congratulations of the deal a getting help from the seller as for the Attorney well you might want to use one for at least for the first deal to see how its done but thats up to you, good legal advice is priceless an dont you think it would be good to have one( Attorney) on your team, Jim ( Oh I like that BO )
jbischoff
Congrats.....
have you run the #'s on rents, insurance, taxes, management, etc- have the owner show you rent rolls/taxes for the past 3 yrs, vacancies
why is owner selling?
what repairs/improvements have been done recently and which will be delayed expenses and how much will they be...(things to know)
carpet, appliances, roofs, heat/air, doors/windows, it all adds up
after all this- is the profit there for YOU?
You should have a RE attorney review this deal
Best wishes
Mike
https://tvallc.isrefer.com/go/RehabLite/renvestr/ Free tools
I just called a few attorneys and found one that understands creative financing. He gave me an estimate of closing cost $2,500 (including attorney fees). So I am going to hire him as my attorney.
Mike- I did run the #'s and after everything this property will give me a cashflow of about $2000 a month. The owner has a portfolio of serveral properties he wants to sell but wants to sell them one or two at a time to decrease the cost in taxes. He wants to retire and move to south carolina with his daughter. He is an electrician and all of his properties have been updated within the past 5 years( I am still having the property inspected).
Set a goal to achieve something that is so big, so exhilarating that it excites you and scares you at the same time. It must be a goal that is so appealing, so much in line with your spiritual core that you can't get it out of your mind. If you do not get chills when you set a goal, you're not setting big enough goals." (BO Sundberg)
Vicky Diaz
Conrads, Sounds like you found your self a nice cash flow there, wow thats 24k per year, good job on that deal. Action+knowledge+success.........
"Action and Mistakes" always-outweigh "Analysis Paralysis"
...Just do It"
http://www.linkedin.com/pub/john-hoening/23/2a3/164
"Action+Knowledge=Success....$$$$$$$$$.....
www.WeFlipDesMoines.com http://facebook.com/desmoinesinvestmentproperties
www.iowarealestateflipper.com
yeah! congrats Vicky! that's the key, taking action and leave fear behind. It sounds you started playing big league with commercial properties. Make sure that as Mike says run your numbers. Looks like you are doing well, in commercial properties there are several other terminologies that you should review, cap rate, Net operating income, expenses, etc. Good luck with this deal!
Tom and Jeri
www.TuCasaInvestors.com
www.TuCasaRealtyllc.com
I dont understand. If you brought the house in full by funding how is the owner using seller financing?
The seller is taking back a note for 105k, or 35% the other 65% is financed with other money. I hope this helps..
"Action and Mistakes" always-outweigh "Analysis Paralysis"
...Just do It"
http://www.linkedin.com/pub/john-hoening/23/2a3/164
"Action+Knowledge=Success....$$$$$$$$$.....
www.WeFlipDesMoines.com http://facebook.com/desmoinesinvestmentproperties
www.iowarealestateflipper.com
nice catch. Just make sure to do your due diligence before you set for close.
Always Looking to Acquire Houses | Always Looking to Amaze Investors