Should I purchase 3-4 family buildings under a single trust
Same seller has 3 separate 4 family units next to each other. Each has it's own tax key. Is my best option to purchase all 3 under a single trust to be able to obtain commercial financing? Can I get commercial financing that way? When I go to sell I assume this will have to be sold that way as 3- 4 family units. That I will not be able to sell each building off separately?Thank you by jbarnes16941 from Racine, Wisconsin. Dec 13th 2015
William J Acres (William_Acres)
#74 ranked lender in Arizona - 8,728 contributions
NO... it's not your best option to purchase them under one trust or under one loan.. specifically for the reason you stated.. but also, if you get into a situation where you cannot make the payments, and the lender has to foreclose, which building do they foreclose on? They would foreclose on the entire property regardless of how much equity you have.. Also, when it comes to selling, if it's now one property, when you go to sell, the person buying them must purchase it as one property.. vastly limiting their financing choices.. leaving them separate, they can be sold using all conforming loan options (FHA, VA, USDA, and Conventional).. .. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347
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