How do I go about finding a "portfolio lender" bank in my area?

Question

From my understanding, there are banks that will provide "in-house mortgages" that will offer rehab loans. These loans will roll the costs of the rehab into the loan, allowing you to cover the entire cost of the rehab through the loan, with a down payment based on the full amount.

**I am not referring to hard money, as I know they offer this type of financing as well

Also, not sure if this matters for reference, but I am based out of Atlanta

Thanks BP!

Jack Tulloch · Answer

Hey Steven. You will likely need to call around to a few banks to find someone who can help you out. Networking with investors at local meet up events might be a good option to see if someone can point you in the right direction!

Nick Belsky · Answer

@Steven Barr

Call around to local banks and credit unions or networking with other local who have found them.

Hard Money may have higher rates and fees, but they are about 70x easier to qualify and faster to close. I've done a few conventional/FHA rehab loans and will never again. They are awful and require way too much work to save a few bucks. I'll take the HML route every single time. The cost difference far outweighs the time and effort portions of the full doc loans.

Good luck.

J. Mitchell Bernier · Answer

Yes Steven, this is very common in South GA and we do them all the time. Wish I could help ya in Atlanta.

Good Luck!

Marcus Auerbach · Answer

Most small, local banks will and you can find them on Google. The tricky part is to call the right loan officer at that bank - makes all the difference in the world.

Networking with local investors is the shortcut. Local associations often have an informal list, agents with an investor background will know too.

But for what you want to do I would really look to cultivate private money - so many people frustrated with the stock market right now and will be happy with a secure 6% or 8% p.a. Don't offer more, as it is perceived high risk and people will like the lower returns better...

How do I go about finding a "portfolio lender" bank in my area?

How do I go about finding a "portfolio lender" bank in my area?

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