This was a purchase transaction which involved a buyer who was a past client and the seller who was a past client and the agents involved were also brokers that we do repeat business with. Believe it or not this is very common in many of our transactions. We believe in relationships and when you do good business clients keep coming back to us.
We had financed this building about 18 months prior for the sellers and they were in escrow at a much higher value then when we did their refinance loan so the big challenge was the appraisal. All we could do was provide to the appraiser the rent comps that supported the increased rents, a cap- ex summary that itemized recent property improvements, and asked the listing agents to provide sales comps. Also, the seller had a prepay on his loan.
We were able to get the sellers prepay waived by bringing in the buyer to the current lender and we negotiated favorable loan terms for the buyer and the appraiser did their job well, hit the value actually it came in a few thousand over sales price.