I don’t want the bank to see the seller financed deal down payment disappear from my checking account. These two deals are closing within a few days of each other and it’s the first time I’ve bought commercial real estate. They have already done a credit check and verified income. Do they look again after that prior to close or at close? I need to juggle and ensure they don’t know I’m working on a second park to reduce the chances of them backing out. Any tips?
Be very careful with your loan documents and personal assertions as to your liquidity. You don’t want to commit bank fraud under any circumstance. It’s one thing to get away with aggressive business strategy (like the pushy salesman on the phone) and another to break the law (like the Wolf of Wall Street movie). Bank fraud is a very dangerous thing, and you want to make sure that you are only being aggressive and not illegal. If you have any doubt, have a competent attorney review what you’re doing and give you his opinion.
Frank, thanks for the heads up! I have not misrepresented anything but I had not even thought about the pitfalls.