bank to finance SRO to 1 family conversion?
We are having trouble finding a bank to finance an SRO to single family conversion right now. Anyone had any luck?
We are having trouble finding a bank to finance an SRO to single family conversion right now. Anyone had any luck?
9:58 –I’ve tried to find David Kossow’s number on google and couldn’t find him anywhere. We’re considering a gorgeous SRO with a cert of non harrassment but I need info on loans and how long it might take to get a permit to do the work. Any suggestions?
thanks
Great to have the name of Mr. Kossow and the tip on Wells Fargo.
Thanks also for the definition of contruction loan.
Hi, we got a construction loan for an SRO with the non-harassment certificate from Well Fargo, our banker is David Kossow. It was not particularly difficult and we a renovating a 5,000 square foot house into a single family with an accessory apartment.
Also, another friend of mine did the same thing for a house that was not an SRO but had been used commercially on one floor.
Good luck.
Construction loans are actually “new” construction or “rehab” loans. They are the same thing as far as I know and most banks have canceled these products. I was told that at this point SROs are only being bought by investors who have cash to pick them up and carry them through the long profitless build out stage and conversion to 1-4 family. Then they can be sold to end-users like you and me. Banks are forcing us into waiting for the middleman to self-finance and then take their cut when they sell to us.
We do not own it–we are looking at it. It is vacant and we do not have a cert. of non-harassment yet. I was not aware of the rehab loan option. Is it the same as a construction loan for the most part?
Rehab/construction loans are difficult to get right now.
Do you currently own it? Is it vacant? Do you have certificate of non harassment? It can be done as rehab loan if legal aspects are addressed and it pencils economically.