Posts by Keith Hernandez21

Paul Hughes4 said:It’s not just four walls standing there; the first floor is actually finished. The loan is really just to cover the interior work for the second floor, which is roughly 30% of the total property value.

The borrower qualifies for the loan on their own, but the bank is insisting on a co-signer. If that's the case, what's the point of using the property as collateral? They could just take out a standard personal loan against a guarantor instead.

So, you're basically saying you want to borrow against 25% of the property's value, even though the work actually costs 30%. That implies you already have about 16% of the cash on hand. I guess it might be smarter to just wait and save up the remaining 84% rather than dealing with high interest rates, only to end up needing to earn that 84% plus an extra 15% anyway.

Real estate doesn't have an intrinsic value on its own, since what's actually worth anything is just a few raised walls shaped into a box.

Yeah, it's the same deal with all the banks.
No, other banks handle things differently.

Regardless of whatever answer anyone here gives you, you're probably going to end up spending an hour Monday visiting other banks anyway.

I am NOT wishing you luck in finding a loan! 🙂