BiggerPockets

Where Is The Money To Buy For The Real Estate Investor?

Saturday, October 24

Over the pass few years, lenders have all pretty much cut of loans for investor purchase and rehab loans even though many of the lenders have received tarp funds to lend money but that another topic.

Anyway, gone are the days of easy underwriting and fast closings. Or so it seems. The truth is, there is still money available for the investor to purchase investment properties for both the commercial and residential investor. I am finding that more and more private equity firms are creating funds to invest in real estate projects offering purchase and rehab money. Many offer terms that are similar to typical hard money terms i.e 60% LTV 6-8 points 12 months term for commercial and 60-70% LTV 6-8 points with a six months term for residential.

In a time where capital to buy real estate is not as plentiful as it once was, tapping into these sources of funds maybe a great alternative funding solution.

Comments

1. 

   Jon Klaus Reply
   over 2 years ago

   Kyle, what kind of interest rates are you seeing on these loans?

2. 

   Kyle Ransom Reply
   over 2 years ago

   Borrowers may choose from two rate programs:
   · 6 Points and 15% Interest (No Monthly Payments!) (Not available in the state of Florida)
   · 8 Points and 10% Interest (No Monthly Payments!)
   The time frame of the loan is for a maximum of six (6) months. The borrower must have the property refinanced and the loan repaid by the six (6) month deadline. The sooner your loan is paid off, the more money you save - the unused portion of your interest reserve can be refunded to you.

   Refinance loan are also available and can be ready to go well before you finished your project. If you are interested in applying please let me know by emailing me your email address to kyleransom@directreoandmore.com.

   Please note that I am a broker not the lender

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