A question for all you brokers (and others) out there.
I am currently involved with a nonprofit looking to establish a child care centre in our area. The building that we are purchasing is being sold below the assessed value for tax purposes and while we have not had an appraisal done, the purchase price would be well below the appraised value as well. Looking at a purchase plus improvements mortgage.
The potential sticking point is that we will likely need to use borrowed funds for the down payment. The board of directors have access to funds at a reasonable rate through one of the directors. Our business plan demonstrates that both this loan and the mortgage payments could be easily met. Are there any ways in which something like this could be funded without the "funds in the bank" so to speak. Is there a difference between a loan and a second mortgage in a secondary position?
Thanks in advance.
I am currently involved with a nonprofit looking to establish a child care centre in our area. The building that we are purchasing is being sold below the assessed value for tax purposes and while we have not had an appraisal done, the purchase price would be well below the appraised value as well. Looking at a purchase plus improvements mortgage.
The potential sticking point is that we will likely need to use borrowed funds for the down payment. The board of directors have access to funds at a reasonable rate through one of the directors. Our business plan demonstrates that both this loan and the mortgage payments could be easily met. Are there any ways in which something like this could be funded without the "funds in the bank" so to speak. Is there a difference between a loan and a second mortgage in a secondary position?
Thanks in advance.