Purchasing fractured condos may be beneficial for your overall real estate portfolio.
Fractured condo deals are a win situation, if you know how to purchase and manage them. To begin with you need good personal credit, cash flow stability and a decent investment property to fix, repair or to purchase a percentage of units to convert the condos to an apartment complex or vice versa, purchase as apartments and later sell them off as condos.
A Quick Checklist for Financing Fractured Condos:
√️ Do I have a 680 or better credit score?
√ Do I have validation the HOA is in good standing?
√ Do I have a copy of the HOA insurance policy?
√ Do I have the CC&Rs document?
√ Do I have a current profit and loss statement on the community?
√ Do I have a copy of the rent roll?
√ Are my other commercial real estate investment properties performing positive cash flows?
√ Am I a seasoned real estate investor?
√ Do I have a minimum down payment of 20% for a potential fractured condos investment?
√ Can my income be verified?
√ Are my business partners eligible for financing a commercial investment property with me?
This is the most common question we receive regarding alternative commercial real estate lending:
“Do you have competitive rates for a fractured condo transaction?” Yes, as long as your project is structured in good manner, which will provide the lender standard underwriting guidelines.
For more information on how we can help you locally in South Florida and Southwest Florida, please fill out the online contact form about your concerns or give us a call at 855.477-9007. Read what our valued clients have to say about First Pro Capital and Credit Consulting Professionals on our Testimonials page