Rule #1 – Location, Location, Location and Options
Location does not apply only to economic trends, cycles, real estate acquisition and development. It is also imperative when it comes to choosing and working with a lender. If you are an investor in Boston and own 1,500 units of multifamily on Mass Avenue, it may be easier to acquire properties in your local market, as opposed to Hamilton Heights in New York , especially if you are unfamiliar with such market and have no local representation. Interestingly, local lenders tend to have better deals than out-of-town lenders (typically for experience sponsors); however, this doesn’t usually translate to better financing options. For instance, take a look at lender A and lender B.
|Lender A (Boston, MA – Mass Ave)||Lender B (New Yo...|