Multi Unit Property in Chicago’s South Shore neighborhood.
I recently met a local commercial banker that offers financing
for Multi-Unit properties! This would be ideal for multi family properties
with 6 or more units. The loan amount minimum would be about $300,000.
The buyer would usually have to put down 25%.
Since I have access to investment properties with high yields,
this is a valuable resource. If you are looking for financing for
your next aquisition, I can put you in contact with this lender.
In return, I would like to submit the offer and represent you as a
buyer’s agent in the transaction.
Below is the information he sent me regarding the requirements:
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Below is a list of the items that we would be looking for in
order to do some preliminary due diligence of the Borrower:
* Copy of the Purchase Contact (if applicable)
* Personal financial statement, with detailed schedules
of cash holdings, marketable securities, real estate holdings,
personal property of significant value, and all debts and obligations.
* Please identify all creditors in this schedule.
In your personal statement, please identify your investment properties,
and for those properties please identify gross rents, operating expenses,
and debt service for 2011 (or attach an REO spreadsheet)
* Recent bank statements supporting your stated liquidity
* 2010 and 2011 Corporate tax returns (if applicable)
* 2010 and 2011 personal tax return with all supporting schedules
* 2010 and 2011 operating statements/building statement for each investment owned
* Copy of Lease Agreement(s)
* Evidence of Insurance
* Corporate Documents (if applicable)
The Bank does finance both single family and multi family investment properties.
If the property has less than 4 units, we then like to bundle a couple of smaller
properties in order to get to the mass that we are looking for but there are
always exceptionS. We are looking for at least some sort of experience
managing/owning properties.
Though we don’t have a minimum loan size, it is somewhat cost prohibitive to do
deals under $200,000. 1-4 unit properties will have a shorter amortization –
15 to 20 years with a loan term of 5 years (fixed rates are currently in the
mid 5s but always negotiable). 4+ units would have an amortization of 20-25
years with the same 5 year fixed rates. Loan to value is typically 75% but
we have done 80% deals. We also have line of credit for investors looking to
buy properties with a short notice – I can provide you more details on that
if you have interested customers
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For more information on multi-family investment properties in the Chicago area,
please send an e-mail to mark@markkillion.com
Until the next time,
Mark Killion
Real Estate Broker
Century 21 Affiliated
5200 S. Harper Ave
Chicago, IL 60615
24 Hour Voice Mail: 312-242-1822
Send me a note!
Visit me online: www.773property.com
