Secrets to Refinancing Commercial Real Estate
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- čas přidán 14. 07. 2024
- Discover why refinancing is so important, including how it can increase cash flow and cash on cash returns. Plus, you can pull out tax-free cash. You'll also learn the secrets behind refinancing that every commercial real estate investor should know.
www.commercialpropertyadvisor...
0:00 Intro
3:38 Deal #1: Refinance as a Repositioning Tool
7:45 Deal #2: Increase Cashflow with a Cash Out Refinance
10:51 Deal #3: Keep an Eye on the NOI
14:18 3 Point Summary
Discover all the secrets to refinancing your commercial real estate by becoming my next Protege: www.commercialpropertyadvisors.com/protege-program
thank you so much for your teachings Mr. Harris !!!
Great content and insight PH. Love the podcast to. Please keep doing what you're doing.
THANK YOU FOR THIS OUTSTANDING VIDEO!
I can say enough about this guy. Love your videos
BEST instructor in real estate.
Great video & content Mr. Harris! Thanks a lot!
I would take the refi put away 12-18 months in advance for personal expenses & invest the rest in an apartment complex.
Really appreciate the neat handwriting! 👍
Great information!!!!
great contents.
A Mr Harris this was a great examples of refinancing and how lazy we as a people can become I got a lot out of these examples.
How much or practical ownership generally investors get after they get their preferred returns of say 7-10%, and equity share of 30/70, and also their money back. Does it remain the same %age or it gets changed (generally speaking)? Thanks for all your videos. There is no other teacher like you.
I wouldn’t work another 8 years I would refinance and focus on my other options.
On the second example Daryl what you didn't tell me is when his balloon payment is going to come due! You didn't say that that was a 30-year fixed loan I think you said it was a shorter-term loan that is merely amortized at 30 years. He's going to have to refinance at the end of that short term which is when?
What would you do? I would refi so that I can pursue other real estate deals.
Hello Peter, may you create a video of syndicates? I'm really interested on it. Thank you for reading!
Coming soon
czcams.com/video/tSl2qjSQhqI/video.html
For example #2, could the owner refi at 80% of the appraised value? If that's the case, if I had no other investors to pay back, I'd use the proceeds from the refi to buy more commercial properties.
It's very difficult to get an 80% LTV cash out refinance; Fannie/Freddie may do it; local banks may do it; more likely 75% LTV Cash Out Refi.
2nd Qs. Seems like there is no or very little cost of refinancing? Because that could sometimes eat the benefit also.
2nd scenario is very... very lucrative for cash out refi if the appraisal is close to what he got it for or higher . Then he wouldn’t ave to work as long or at all at the job. 8yrs is a long time even with cutting the monthly mortgage by over half
2nd scenario would depend how much his job is paying him. Also how much rental income he's making.
If I can live off the rental income industry refinance. Live off the rental income.
Can you refinance a vacant lot that's zoned for commercial real estate?
Maybe. Depends on your lender and your ability to repay.
Commercial Property Advisors thanks I'll look deeper into it
How can you refinance with building violations on the property?
It depends on the violations...most lenders want them repaired prior to closing or the money to repair them in escrow after closing.
Why will the bank offer you a refinance on a property that's been previously funded by Hard money, Is it because the property has produced a better NOI over the years and would they have to see how it was before and after the repair costs?
Banks always want to refinance; that's how they make money.
@@CommercialPropertyAdvisors Oh, that's great information, thank you
REFI!!! #NOBRAINER
Where at you located ??
My home base is California but I do deals across the US and even Canada.
@@CommercialPropertyAdvisors Leave this mountain state man!
My numbers are not spot on but considering that it has been 12 years and half of the mortgage has been paid(signs that things are going well), I think it's safe to assume that the property appraisal is at the very least 10% higher 1.76m than the original mortgage1.6m which means LTV approx 45% (all things considered ) i would cash out refi 30yr @ 70% LVT and then invest the 520k accordingly. What do you think?
Do you have a good place to invest that $520,000? Because if your return on that equity is already very good in its current place, and you can't beat that elsewhere, then consider not refinancing.
As you pointed out I'd prefer to keep the money moving, so i would invest it in another CRE deal.
Land lord you got 8 hours till morning baby😊
I live in Europe and have 400K to invest - how do I find the best deals?
In the US?
I would of worked the eight more years
I wouldn’t work another 8 years I would refinance and focus on my other options.