No money down - Buying at 80% of valuation

Sounds like you've made an offer already, was it subject to finance? I can't imagine the owner agreeing to that and the big discount etc if a quick settlement is what he wants

 

I'm looking for 1,300,000
Technically it can be considered commercial due to the number of units if I borrow it all together - But then I'm short on the LVR

 

So you have no equity and not enough income to service the debt?.

Am I right in saying your putting nothing into the deal, cant afford to support it, and want someone else to pay for.

About your only chance would be to purchase the property, with long settlement, then sell the individual units prior to settlement. The risk of doing this is well outside of my comfort zone though.

Im all for 'the impossible means nothing' type of attitude, but this will be a very difficult deal to pull off.

Blacky

 

Yep....pipe dream.

You can find less risky commercial deals like this every day of the week. Where the income outweighs the interest and outgoings - doesn't mean you can secure the property. Lenders want comfort you have skin in the game too.

pinkboy

 

Sounds like a great Spruiker's deal!
"its easy - buy under value, re-val, put nothing in - get everything out, use other peoples money, cash flow is king, yada yada yada".

Blacky

 

You guys are just jealous.

 

OK, Ill be jealous the day you take this deal on, make it work and MPG is rolling in cold hard cash at the end.

Ill even eat your hat without salt and pepper.

pinkboy

 

Note too selling individual units during settlement would mean double stamp duty and no cgt relief so not really much of an option.

What he really needs is an investment partner to take a tiny profit share in exchange for putting their name, income and deposit on the line.

 

While riding a fat bike during a double everesting?

 

Going for the 48hr record in September, which is just over 3x Everest (Actually, having just recently investigated, its actually taller than Olympus Mons - the tallest natural structure in the Solar System).

Working on the minor details of bike/hill/sponsors/charity etc before fully announcing!

pinkboy

 

Fantastic. Now Im jealous.

I did the audax 250 for australia day, 250kms 5k or so vert. took me 16 hours, I was fifth last.
I reckon I spent about an hour of that fluffing about after my tyre blew out on the back of falls. It was a great day.