Movingon
Member
- Joined
- Oct 22, 2016
- Messages
- 15
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Hello everyone, first time poster, long time reader. My wife and I currently own a restaurant and have been thinking about changing businesses to a B&B. Originally we wanted to buy a resort in the Ozarks, but financially that isn't a good possiblility right now.
Ive done a lot of research, but something I just learned more recently is that we would still need a commercial loan to buy a residence to use as a B&B. We will have about $120K in cash, but our income hasn't been very high the last few years and that is what held us back from getting a loan to buy a resort.
My question is pretty basic, when you guys started did you use only cash, loans from family, or what banks did you get loans from? Did any of you use conventional mortgages to buy the residence and convert it later? We have considered that, using a traditional mortgage and paying it off as quickly as possible and then turn it into a B&B after a few years. Any problems with that path?
I have created a business plan and we have found a few properties for sale that we think would be great B&Bs. I just don't think we can get approved for a commercial loan is the problem.
We are located in Eastern Kansas, but we are not going to stay here. There just isn't any demand imo for B&Bs.
Ive done a lot of research, but something I just learned more recently is that we would still need a commercial loan to buy a residence to use as a B&B. We will have about $120K in cash, but our income hasn't been very high the last few years and that is what held us back from getting a loan to buy a resort.
My question is pretty basic, when you guys started did you use only cash, loans from family, or what banks did you get loans from? Did any of you use conventional mortgages to buy the residence and convert it later? We have considered that, using a traditional mortgage and paying it off as quickly as possible and then turn it into a B&B after a few years. Any problems with that path?
I have created a business plan and we have found a few properties for sale that we think would be great B&Bs. I just don't think we can get approved for a commercial loan is the problem.
We are located in Eastern Kansas, but we are not going to stay here. There just isn't any demand imo for B&Bs.