Has This Ever Hapened To Anyone?
I was just thinking of some worst case scenarios that could go wrong if I were reahbbiong a home to convert into a rental.
Has anyone ever not been able to refinance the hard money loan intoa conventional mortgage?
That would suck....or would it?
When this and if this were to happen what are your options?
JB
[addsig]
yeah, happend to me once (sorta) and yes it sucked. Options included personal bankruptcy. I was the GP in a 60 unit rehab at the time. You may remember something about the S&L crisis, couldn't get conventional financing on an apartment building regardless. Not one of my best real estate stories.
I had a friend that found asbestos on the property, but the environmental company was liable for it since they didnt catch it. So it worked out for the best.
The main horror stories I hear about are mainly code issues, unpaid bills attached to the property, roofs and foundations.
The main thing is to have yourself covered by insurance, and also through the people that check the property out. Environmental Phase 1, survey, appraisers, Title insurance etc. They all can be held liable for things that they miss. Just make sure that your insurance company will pay off before they try and go after them.
Kyle[ Edited by KyleGatton on Date 04/07/2004 ]