It is always a celebration when a real estate purchase closes. 3108 Aster Street is a 12 unit apartment complex located in Central Lake Charles. This multi-unit property was on the market 70 days from list to close. That is a short amount of time when it comes to Lake Charles multi-uniti real estate!
Lake Charles investment property and multi-unit complex properties are unique real estate opportunities. Sellers can expect that a multi-unit complex will will average longer days on the market than a regular residential home for sale in Lake Charles, LA. It takes a specific buyer that wants to invest in a multi-unit complex to come along.
Some investors will be in a position to be able to provide a buyer with “owner financing” on Lake Charles properties for sale. Other savvy real estate investors may take advantage of a line a credit with a local bank. Depending on the circumstances a contract can be negotiated with several options.
3108 Aster Street was SOLD with owner financing. What sounds like an easy way of financing for a buyer, may require alot of work on the part of the seller to make it happen. In this instance the purchase had many moving gears that needed to be “tweaked” in order for the transaction to occur.
- The Sale required a Bond for Deed which was reviewed by both the Buyer and Seller’s attorneys. The payment terms and contained within the Bond for Deed.
- Then insurance must be addressed. With an existing mortgage on the property the Seller must maintain the insurance but the buyer may be added to the policy.
- Then the terms of who is responsible for insurance and taxes must be addressed.
Did I also mention the coin-operated laundry lease that had to be coordinated and transferred? That was another moving part to the transaction.
Whenever tenants are involved with rental property, there are other issues to be handled with the release of tenant deposits and leases that must be conveyed to the new owner. The deposit belongs to the tenant so only the tenant can grant permission to transfer their deposit. Even with an advance notice of closing date, obtaining multiple tenant signatures can take time, and requires effort on the part of the property management company and/or Realtor to accomplish.
Real Estate Deals are out there in Lake Charles and ready to be found. If all parties are willing, anything is possible, even a Bond for Deed transfer of ownership to a Buyer where the Seller has an existing mortgage!
Whenever a Buyer or Seller agree to do something that is unusual in a transaction or veers from the “normal” Louisiana Real Estate contract and conventional financing, it is wise to have an Attorney review and prepare all the documents. Both Buyer and Seller need to understand all the terms before meeting at the closing table.
Multi-Unit Real Estate is complex and by the time all of the components are finalized and you close, it really is a time of celebration!
Marilyn Boudreaux is a Full Time Licensed REALTOR in the State of Louisiana affiliated with Century 21 Mike D. Bono & Co.’s.
Copyright 2011© Marilyn Boudreaux
Marilyn Boudreaux, REALTOR® 337-499-9592
Century 21 Mike D. Bono & Co.’s
4410 Nelson Road
Lake Charles, LA USA 70605