Apt Complex Note Deal
Here is what the bank is offering. This is a performing 18-plex located in Hermosa Beach, CA (suburban LA)
This provides the ability for you to earn the arbitrage btwn the 2 notes (what is the historical CMT v. Prime)
The leverage of the 50% note loan
Low LTV
Opportunity to foreclose on Apartment (approx FMV 7M, with 600K 2nd)
Appreciating asset
Priced @ par or the outstanding loan balance of $4,468,005.
10 days due diligence, 5% initial deposits and additional 5% deposit after 10 days, non-refundable after due diligence period. Loan to be closed within 10 days after due diligence.
Buyer to pay all escrow fees, closing costs including Broker Fees.
They will finance the purchase of the note as follows.
50% down
5-yr term amortized over 30-yr.
P + 2%
1% loan fee
I would be seeking a 3 pt assignment fee. Please drop and email.
you might try http://www.scotsmanguide.com/ or www.c-loan.com, both are sites were lenders/brokers will reply to your request.
p.s. watch about violating blue sky and federal securities laws.
Promising a specific rate of return in a public solicitation is is illegal in CA and under SEC rules,
Chet:
Thanks for the referral to those sites. Have you actually used either to get any money?
Only reason I ask is that my first post on Scotsman guide turned up as the first reply our old friends Remington Financial, well known to us here at TCI as scam artists. Makes me question the credibility of the whole site.