Cash down is critical

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Posted by Michael Morrongiello on September 19, 2009 at 01:04:29:
In Reply to: Would this KILL my quote posted by Christen on September 18, 2009 at 10:18:45:
Christen:
Your dealing with Commercial income producing properties (anything over 4 units). The typical down payment that most lenders, note investors, etc. wish to see is as you pointed out 20% OR MORE.
With a light down paynent of 5% -10% and your holding back a 2nd lien, assuming personal liability, strong credit, good financials, rent rolls, etc. your 1st lien will be still be saleable. However it will have to be seasoned longer.
A BETTER structured would be for you to carry back a 70% LTV 1st lien and then if getting 10% cash down, a 20% seller held and retained 2nd lien.
Best to your sucess;
Michael Morrongiello

Follow Ups:

Re: Cash down is critical Christen 19:25:44 09/21/09 (1)

Re: Cash down & Credit is critical Michael Morrongiello 20:20:33 09/21/09 (0)

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