Greystone Provides $14 Million In Freddie Mac Financing For Multifamily Property In Atlanta
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One of the things that I have always said about Greystone is that it has a very special ‘heart’ that extends to all its people. My example: I left Greystone to work for a competitor in 2012 and about four months into my tenure with that firm my brother passed away and I inherited his son to raise. During this time my former Greystone coworkers brought food, called, and checked on me. They showed me that they were not ex-coworkers and friends but that they were family.
Pharrah Jackson-RowellVice President
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During my eight years at Greystone, I have been afforded the opportunity to grow and develop as an individual, manager and team member. In 2012 I was hired as an AP Coordinator in the New York office. Thanks to Greystones promote from within culture, I accepted the Controller position in the North Carolina office where I have been the last six years. Greystone takes great pride in their employees by investing in their futures and pushing for continued growth.
Melissa Graham
Tpt Global Tech Inc Signs Strategic Investment & Partnership Agreement With New York Real Estate Investment Firm Black Pearl Investments
SAN DIEGO, CA / ACCESSWIRE / November 16, 2022 / TPT GLOBAL TECH, INC. www.tptglobaltech.com based in San Diego, California, a leading-edge technology company with divisions providing telecommunications, medical technology, media content for domestic and international syndication as well as smart city technology solutions, today announced it has signed a Strategic Investment Partnership Agreement for Cooperation in Design, Development, Manufacture, Investment and Management of Projects specifically related to Smart Green Cities, Residential Housing, Commercial Real Estate, Industrial Smart Parks, Infrastructure and Sustainable Development with Black Pearl Holding Co. and The Triwest Financial Group Inc. ) www.blackpearlinvestments.com. BPI is a New York real estate investment firm whose potential investment outlined in the Agreement will be through dedicated credit facilities and structured funds within each phase and/or project Special Purpose Vehicle according to the capital stack requirements and subject to conditions precedent.
The lead development, construction activities, and operations for the Smart projects will be handled thru TPT Global’s Real Estate and Development Technology division, TPT Strategic OTCBB:INOQ, which recently closed its acquisition of Information Systems Technology , a general contractor and construction company based in Huntsville Alabama. IST has additional offices in Texas, Louisiana, Washington, Tennessee, and Mississippi.
What Is Real Estate Financing
Real estate financing is generally used to describe an investors method of securing funds for an impending deal. As its name suggests, this method will have investors secure capital from an outside source to buy and renovate a property. Not unlike traditional financing, however, real estate finance comes complete with terms and underwriting, not the least of which need to be fully understood before entering into a contract.
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What Is Required To Be Approved For Investment Property Financing
Each lender and type of financing will have varying requirements. Private lenders may simply require a relationship with the borrower. Hard money lenders may only require a hot real estate market and a good estimated after-repair value . Home equity loan, home equity line of credit , and conventional loan lenders will have the strictest requirements on income and credit scores.
Best Way To Structure Your Relationship With Your Ontario Real Estate Coach
The best way to structure your association with your real estate mentor is to create mutually aligned incentives by splitting in the profits fifty-fifty so that when you make money, the mentor earns money. That way, when you win, your mentor succeeds too. And perhaps just as important, if a deal is falling apart, your coach stands to miss out that money too so they are motivated to help put the deal back together. That’s how our company works. We coach creative real estate investing across this country by splitting the profits fifty fifty with the people we mentor to ensure success is achieved. To learn more, check out our Apprentice Program or call us at 909-366-4130. If you’re interested in mastering creative real estate investing, we could be your Ontario real estate coach. But we’re a small, close-knit group so we only have a limited number of openings, we choose not to oversaturate any one area and we choose to only mentor those who are 100% committed to becoming successful creative real estate investors. So, unfortunately, we don’t accept every person that applies. But, whether or not we are able to work together, hopefully now, after reading this article, you can make a much more informed decision when searching for a Ontario real estate coach and mentor.
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Real Estate Financing Options
Investors with a deal lined up have already accomplished one of the most important steps in home flipping. However, finding a viable deal is only one piece of the puzzle. Once you find a good property to invest in, you need to finance the impending transaction then.
Financing a real estate deal tends to send new investors into a fit of anxiety or is even enough to compel them to pack up their dreams and retreat to their nine-to-five job. However, if an investor commits to doing his or her due diligence, the fear of a lack of funds is irrational.
If you have a great deal on the table, there is no limit when it comes to ways to fund it. A great example would be leveraging a self directed IRA, which would require some careful consideration beforehand however, it goes to show that there are many available options for real estate investment financing. Experts at Loan Advisor suggest Financing not only provides flexibility but also improves cash flow. There is fluidity in repayment and it provides options for collateral. I would suggest new real investor financing through hard money loans, hybrid loans, asset-based mortgages, and an FHA loan. For investors wondering how to finance an investment property, Ill explain some of your real estate finance options:
Real Estate Finance And Investments
2 credit hours
The Real Estate Finance and Investments course introduces students to the basic concepts of real estate. This course provides a background on the concepts of urban and spatial economics, analysis of markets, valuation, law, development, capital markets and investment analysis. It also familiarizes students with the vocabulary of real estate and exposes them to real-world decision making processes through a series of case studies. This course is designed to introduce students with an interest in real estate to the real estate asset class, as well as some important aspects of real estate analysis. In addition, the course is designed to incorporate current topics that are relevant to real estate decision makers in all aspects of the industry. During the course, well look at decisions commonly made by developers, lenders, investors and other market participants. As such, the course is a survey course that covers a broad range of real estate topics.
Watch the below video for a brief introduction to the Real Estate Finance and Investments course:
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Bruce Kirsch Refaifounder And Ceo Real Estate Financial Modeling
As the founder of Real Estate Financial Modeling , Bruce Kirsch has trained thousands of students and professionals around the world in Excel-based projection analysis. In addition, REFMs self-study products, Excel-based templates and its Valuate® property valuation and investment analysis software are used by more than 250,000 professionals. Mr. Kirschs firm has assisted with modeling for the raising of billions of dollars of equity and debt for individual property acquisitions and developments, as well as for major mixed-use projects and private equity funds. Mr. Kirsch has also maintained a blog on real estate financial modeling, Model for Success, authoring more than 500 posts.
Mr. Kirsch began his real estate career at CB Richard Ellis, where he marketed highrise New York City office buildings for re-development in the Midtown Manhattan Investment Properties Institutional Group. After CBRE, Mr. Kirsch was recruited to lead acquisitions at Metropolis Development Company, and later joined The Clarett Group, a programmatic development partner of Prudential.
While at The Clarett Group, Mr. Kirsch was responsible for making development site recommendations for office, condominium and multi-family properties in the greater Washington, D.C. metropolitan area. In addition, Mr. Kirsch had significant day-to-day project management responsibilities for the entitlement, financing and marketing of the companys existing D.C.-area development portfolio.
Is A Home Equity Loan Or A Heloc Better For Investment Property Financing
Home equity loans and HELOCs are very similar products with important differences. If you intend on buying a single property and need an exact dollar amount for purchase, repairs, and rehab, then a home equity loan is a good choice. If you plan on buying and selling multiple properties in quick succession, then a HELOC is more convenient because you will have revolving access to cash as you draw from and pay down your credit line with each purchase and sale, as opposed to taking out and paying off multiple home equity loans.
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Option : Hard Money Loans
A hard money loan is a short-term loan that is most suited to flipping an investment property as opposed to buying and holding it, renting it out, or developing on it.
While it is possible to use a hard money loan to purchase a property and then immediately pay off the hard money loan with a conventional loan, private money loan, or home equity loan, starting out with one of the other options is more convenient and cost effective if you are not intending to flip your property.
The upside of using a hard money loan to finance a house flip is that it may be easier to qualify for compared to a conventional loan. While lenders still consider things like credit and income, the primary focus is on the propertyâs profitability.
The homeâs estimated after-repair value is used to gauge whether youâll be able to repay the loan. Itâs also possible to get loan funding in a matter of days, rather than waiting weeks or months for a conventional mortgage closing.
The biggest drawback of using a fix-and-flip hard money loan is that it wonât come cheap. Interest rates for this kind of loan can go as high as 18%, depending on the lender, and your time frame for paying it back may be short. It is not uncommon for hard money loans to have terms lasting less than a year. Origination fees and closing costs may also be higher compared to conventional financing, which could chip away at returns.
Option : Private Money Loans
Private money loans are loans from one individual to another. The source of most private money loans are usually from the friends and family of an investor. If you do not have friends or family in a position to loan money to you for an investment property purchase, a great place to start looking for private money lenders is by going to local real estate investment networking events. The popular real estate investment podcast BiggerPockets keeps a directory of local real estate investment clubs that you can join for networking.
Actual loan terms and interest rates on private money loans can vary significantly, from extremely favorable to predatory, depending on the relationship between the borrower and the lender. These loans are typically secured by some sort of legal contract that allows the lender to foreclose on the property if you default on payments. If you are new to real estate investing, consider carefully how your relationship with the person lending you private money may sour if you default before you sign an agreement with a loved one.
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Best Loans For Real Estate Investing
When examining the large umbrella of different real estate financing options, one should also consider loans offered by the government, traditional lenders, and methods of leveraging personal equity. Read on to find out some of the most popular loan options that are used creatively by investors, including real estate investment loans on bad credit:
Which Financing Option Should You Choose
There is no right answer when looking at which financing option you should choose. Instead, its helpful to focus on your long-term goals and preferred investment strategy. For example, if you plan on using real estate as a way to bolster your retirement savings it may be smart to turn towards an IRA to invest in real estate. On the other hand, if your long-term goal is to have your own real estate investing business then options like a hard money lender may be a better fit.
Another key component to look at when choosing a financing option is what type of real estate investing you want to do. Again the right strategy is up to you but certain financing options may be better suited towards different investments. Many investors find that a home equity loan can help finance a rental property, while private money lenders may be what you need for a rehab property. Think through why you are investing in real estate and weigh the pros and cons of each option before deciding how to finance.
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Foundations Of Real Estate Finance And Investment
In the Foundations of Finance and Investment module, you will learn foundational real estate finance terms and concepts, including the time value of money, risk/return tradeoff, and financial leverage. With use of examples and Excel, important calculations in real estate finance and investment will be described, such as internal rate of return , mortgage payment and loan balance, and property valuation.
Real Estate Opportunities That Come With Greater Risk And Effort
Not all real estate investment opportunities are created equal. Some provide a greater potential for returns than others. Its worth knowing both the best real estate investment opportunities as well as the opportunities worth avoiding. Here is a look at some of the real estate investment opportunities that can be harder to generate positive returns from.
1. Timeshares: Some investors consider timeshares if they are based in an area where they like to visit and spend time. The problem with timeshares is that they frequently resell for much less than the initial sales price, and transaction costs can be high.
Timeshares are also a commitment that may end up going against your personal desires. What happens if you buy a timeshare and, after a couple of years, are bored with the area? Of course, you can try to sell your timeshare, but the depreciation of it will likely lead to a loss.
2. A second home: Buying a second home is not necessarily a bad idea if you have the money to do so and want to do it as a lifestyle decision. However, setting up the second home as an investment property might be a much more challenging proposition to make profitable. Being a landlord requires time, attention, and effort. There are also fees that many forget about. There are insurance and maintenance requirements. There may be other types of housing costs if the property is a condominium or part of an association. And theres also property tax to consider.
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Option : Conventional Bank Loans
If you already own a home thatâs your primary residence, youâre probably familiar with conventional financing. A conventional mortgage conforms to guidelines set by Fannie Mae or Freddie Mac, and unlike a Federal Home Administration , U.S. Department of Veterans Affairs , or U.S. Department of Agriculture loan, itâs not backed by the federal government.
With conventional financing, the typical expectation for a down payment is 20% of the homeâs purchase price. With an investment property, however, the lender may require 30% of funds as a down payment.
With a conventional loan, your personal and determine both your ability to get approved and what kind of interest rate applies to the mortgage. Lenders also review borrowersâ income and assets. And obviously, borrowers must be able to show that they can afford their existing mortgage and the monthly loan payments on an investment property.
Future rental income isnât factored into the debt-to-income calculations, and most lenders expect borrowers to have at least six months of cash set aside to cover both mortgage obligations.
The Complete Guide To Financing An Investment Property
There are many reasons and ways to invest in real estate. It can be a hedge against market volatility when stocks tumble, and there are many perks associated with owning an investment property.
Whether you are buying and holding land for future development, flipping a property, purchasing a property for an elderly relative to live in and enjoying the appreciation when it sells, or creating a passive income stream by renting the property, purchasing an investment property is a great way to diversify your portfolio. Unlike investing in the stock market, which can be done for very little money, investing in real estate has a generally high start-up cost. Once you have decided that investing in real estate is right for you, done your research, and found a good deal, you need to consider how to secure financing for your investment property.
Four types of loans you can use for investment property are conventional bank loans, hard money loans, private money loans, and home equity loans.
Investment property financing can take several forms, and there are specific criteria that borrowers need to be able to meet. Choosing the wrong kind of loan can impact the success of your investment, so itâs vital to understand the requirements of each kind of loan and how the various alternatives work before approaching a lender.
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