Question - Cash Out Refinance for Investment Property

Question - Cash Out Refinance for Investment Property

Investor · Member since 2020 · 15 posts · 5 votes

We have some lending relationships who have advised us that things have changed in the last few months with the rate increases and they can no longer do 80% LTV for cash out refinance of an investment property. We are hoping this is not the case for all lenders.

Has anyone else been experiencing this?

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Scott JohnsonBusiness Member
Specialist · Greenville, NC · Member since 2019 · 673 posts · 408 votes
4y

The lenders I work with and have talked to are at 75% LTV. As long as the numbers work I still do the BRRRRs, @Chase Ginther.

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  • Scott JohnsonBusiness Member
    Specialist · Greenville, NC · Member since 2019 · 673 posts · 408 votes
    4y

    The lenders I work with and have talked to are at 75% LTV. As long as the numbers work I still do the BRRRRs, @Chase Ginther.

  • Lender · United States · Member since 2020 · 1k+ posts · 499 votes
    4y
    Nonqm lenders are doing 75% LTV cash out refinance. Rates are between 6-6.6%.
  • Rental Property Investor · Columbus, OH · Member since 2017 · 3k+ posts · 3k+ votes
    4y
    Quote from @Chase Ginther:

    We have some lending relationships who have advised us that things have changed in the last few months with the rate increases and they can no longer do 80% LTV for cash out refinance of an investment property. We are hoping this is not the case for all lenders.

    Has anyone else been experiencing this?


    What I have seen now is 70% LTV

  • Investor · Orange County, CA · Member since 2014 · 363 posts · 408 votes
    4y

    Freddie Mac/Fannie Mae requirements for multifamily property non-owner occupied is now 75% LTV for cash-out and purchases.

    The days of 80% LTV are gone, at least for now.

    *Exceptions are made for single family properties and owner occupied multifamilies.

  • Lender · PA · Member since 2019 · 535 posts · 461 votes
    4y

    A few credit unions and local banks will do a cash out refinance at 80 percent for preferred, blue chip customers. Good luck.

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