Looking for funding, over 150% secured equity

[pentupentropy]

I am looking for funding for 2 projects. One is a technology venture which deals with a pre-existing product which I feel is undervalued and incorrectly marketed within the demographic I am hoping to attract...

The other is high risk, it's a bar. While this may tend to scare a lot of people, it really has nothing to do with the risk for the investor. Your investment will be secured either way unless the earth happens to open up and swallow a property I own - I live on the east side of the US, so we should be OK)

I need $150,000, and will pay $25,000.00 up front. I need the $150,000 for two years and there may be a time period of up to an additional 12 months should all else fail to recoup expenses.

The house was appraised at $263,000 (not tax assessment but actual appraisal) when we inherited it. It may have dropped some due to market conditions but before anything would be done I would be happy to get another appraisal and I'm sure it would still be around the same.

My business plan for the tech is small but based on a solid platform. I have years of experience with internet and technology related fields and was a Linux/Unix and Windows server administrator for one of the largest non-telecom hosting companies during the dot-com boom. I would be happy to send my resume and any other information requested about the property or myself.

The business plan for the tech company is available in part. I understand how people like to see the business plans, and depending on the person I would be willing to share it but because it's such a relatively low startup I'm not going to send it out to just anyone. The opportunity for the investor here is a definite gain with no real possibility for loss.

The business plan for the bar is still in the works, but it's pretty run of the mill. I'm 31 and have never had a DWI or anything like it and the bar should be no problem.

If anyone reads this and wonders why I don't just go for a conventional loan, the answer is.. I did. I was approved for $160,000.00 and got turned down during underwriting because there are stipulations on loans against real estate dealing with gifted wills in NYS.

Anyone interested should message me here. Anyone who knows someone, I will be happy to pay you a $5,000 finders fee for bringing us together.

[jasaunders]

If you are willing to give your house up as collateral, why not just take out a reverse mortgage?

[pentupentropy]

reverse mortgages in general are for senior citizens. I have a real estate license (expired, got it 5 years ago) too =)

In any case.. no mortgage will be approved. I've been through this with several lenders. The first time we went to finance we were approved in 2 days on a no doc loan. Everything was good as I said until underwriting. No loans secured by any government mortgage program in NY on a gifted will for a set amount of time.

I would just wait, but there are time sensitive issues that really don't affect anyone but me. I'm not in danger of losing the property, so don't jump to that conclusion. I just would like to get one of the businesses off the ground ASAP. My town has a kind of transitional phase happening right now that makes this a better time than most.

[jasaunders]

First of all, I wouldn't discount a reverse mortgage just because it is for "senior citizens".

Second of all, if I understand you correctly, you don't own the property, it is being willed to you, but the title isn't currently in your name. In actuality, you have no property. I don't understand how there could be a problem otherwise if the title is in your name.

[pentupentropy]

yeah, you're not reading it right. It's absolutely mine, in my name, and I can easily provide copies of the deeds to both lots as well as all paperwork from the deeds office and copies of the closing of the will. It was my father's, he died in march of 06 so probate court and everything else mandated by state law is passed. Recording of the deed did not come until almost october of 07, but I have all the paperwork for that too.

Not sure I understand what you don't get about this. You CAN'T get a mortgage for a length of time on any property inherited by gifted will in the state of NY. The point of saying reverse mortgages are for seniors is that banks wouldn't give you one under normal circumstances if you're not above a certain age. Even if you live someplace where they would they would find a way to deny it unless they stood to make a substantial sum of money off of the property. It is not in their best interest to grant a loan for which they can collect no repayment for a half a century.

Reverse Mortgage Q&A

[jasaunders]

ok, got it.

[DPayne]

does the NY legislation prevent you from using a HELOC on the property?

[pentupentropy]

no HELOC either, I have been down the regular lending avenue for months now.