New To The Game...need Help?

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What is the best creative strategy for purchasing a million+ apartment complex which is a HUD foreclosure? Our group of investors do not have a lot of capital reserves to put up for a deal? What is a creative strategy to have the least amount of out of pocket expenses? When a lender says 75-80% LTV is the the amount of loan vs the appraised value? or does that mean 75-80% of the actual purchase price vs the loan amount given? I wanna go commerical and break out of residential. Please help if you have expertise. Thanks in advance. :-?
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Comments(2)

  • JeffAdams26th April, 2004

    Crice:
    I would recommend staying away from
    HUD and going after apartment complex-
    es that are not listed and finding owners who will sell to you and carry paper.
    If you can get an owner to carry back 10%
    you are in the game.


    Best Riches,
    Jeffrey Adam
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  • tinman175527th April, 2004

    I have never been able to find any "creative way" to do a HUD Deal. They are what they, I have found that cash is the best way to buy them. Whether your own or someone else's. You could use an equity line for the down payment if you or one of your investors have one. Or combine them.
    If you are not familar with HUD properties you may be looking at a lot of hidden costs you would never think of.

    Lori


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