GRP Capital is pleased to announce the loan closing for our client, a first time buyer. GRP Capital Managing Director Krishan Patel as well as GRP Capital President Rick Patel worked closely with our client and our lender to help everybody through this new terrain.
Challenges for a First Time Buyer:
• Finding the right property to purchase: First time buyers need to be picky. They should choose a property with profit potential. Even more importantly, a first time buyer needs to select a property that they can manage. Being too ambitious in terms of size of property, any issues facing the business or even complexity of management are not “perfect first time properties”.
• Proving themselves to the lender: Lenders want first-time buyers tho prove two things: financial stability and management experience. We worked in tandem with our lender and our clients, so that our clients could demonstrate their solid business plans. Our clients had experience but not decades of it. Our lender needed encouragement. Therefore, our relationship with the lender allowed them to trust us and our evaluation of the client’s skill set.
• Solid Management Practices: Lenders regularly request a management resume from potential borrowers. They are looking for years of experience and what type of businesses our clients have managed. We help our clients craft these resumes, so they can highlight their strengths during the underwriting process.
Rick Patel upon closing this loan stated, “We really wanted to help our client pursue their ownership dreams. They have good, strong management experience and will be able to improve the profit margins of this hotel. They are already executing their management plans as we approach the Florida high season.”
Our GRP Capital team specializes in finding the right lender for each project. We save our clients time and money, as we research the best choices for their funding sources. Our experience allows our clients to find funding that is project-appropriate and will allow for sufficient cash flow. If you are considering becoming a first-time (or second or third time!) buyer, we can assist you.