Multi-family, where to start?

Mortgage Brokers & Lenders
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Multi-family, where to start?

Chris Huang
Brooklyn, NY · Member since 2017 · 23 posts · 8 votes

Hello -- 

We're interested in multi-family (commercial).  Is there any mortgage broker you could recommend for a MF newbie?

Looking for investment opportunities, somewhere between 1.0 - 2.9M.

Thank you.  

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Jason WrayPro Member
Banker · Nationwide · Member since 2020 · 2k+ posts · 1k+ votes
2y

Chris,

I sent you a message as an introduction.  Great time to for multifamilies rents are high rates are dropping and values will continue to climb for 2024!

[email protected]727-637-4289
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  • Jason WrayPro Member
    Banker · Nationwide · Member since 2020 · 2k+ posts · 1k+ votes
    2y

    Chris,

    I sent you a message as an introduction.  Great time to for multifamilies rents are high rates are dropping and values will continue to climb for 2024!

    [email protected]727-637-4289
    3Reply
  • Nate HerndonPro Member
    Lender · Springfield, MO · Member since 2023 · 277 posts · 195 votes
    2y
    Quote from @Chris Huang:

    Hello -- 

    We're interested in multi-family (commercial).  Is there any mortgage broker you could recommend for a MF newbie?

    Looking for investment opportunities, somewhere between 1.0 - 2.9M.

    Thank you.  


    5+ Unit Multifamily can be tough right now. Sellers have low/no mortgages on their own properties, low rents compared to market, and high expectations for their sale price. All of that *can* be a tough recipe for a DSCR loan at max LTV (75-80% LTV).

    We even had one major national private lender bail completely on their 5-9 Unit Multifamily product as of this week. There are many options available still, but 2-4 unit properties are easier to stabilize and obtain financing for right now. 

    [email protected]417-605-2196
    1Reply
  • Devin PetersonBusiness Member
    Lender · Sarasota, FL · Member since 2022 · 2k+ posts · 667 votes
    2y
    Quote from @Chris Huang:

    Hello -- 

    We're interested in multi-family (commercial).  Is there any mortgage broker you could recommend for a MF newbie?

    Looking for investment opportunities, somewhere between 1.0 - 2.9M.

    Thank you.  


     Hi Chris, 

    There a ton of qualified commercial investment, focus brokers on BiggerPockets. I would recommend utilizing the find lender tab. What type of properties are you interested in purchasing seems to be going after a very specific asset class purchase price amount.

    [email protected]860-538-3672
    ProAlpha Capital56 Reviews
    WebsiteView Page
    0Reply
  • Chris Huang
    OP
    Brooklyn, NY · Member since 2017 · 23 posts · 8 votes
    2y


    5+ Unit Multifamily can be tough right now. Sellers have low/no mortgages on their own properties, low rents compared to market, and high expectations for their sale price. All of that *can* be a tough recipe for a DSCR loan at max LTV (75-80% LTV).

    We even had one major national private lender bail completely on their 5-9 Unit Multifamily product as of this week. There are many options available still, but 2-4 unit properties are easier to stabilize and obtain financing for right now. 

    Yes, understood - we're preparing for when/if that distressed opportunity does occur (2024-2026).  Not sure, of the lending standards or guidelines for commercial loans.  We'd  like to be prepare/ready for what is coming on the horizon.  Thank you.

    0Reply
  • Carlos Ptriawan
    Member since 2019 · 7k+ posts · 4k+ votes
    2y
    Quote from @Chris Huang:


    5+ Unit Multifamily can be tough right now. Sellers have low/no mortgages on their own properties, low rents compared to market, and high expectations for their sale price. All of that *can* be a tough recipe for a DSCR loan at max LTV (75-80% LTV).

    We even had one major national private lender bail completely on their 5-9 Unit Multifamily product as of this week. There are many options available still, but 2-4 unit properties are easier to stabilize and obtain financing for right now. 

    Yes, understood - we're preparing for when/if that distressed opportunity does occur (2024-2026).  Not sure, of the lending standards or guidelines for commercial loans.  We'd  like to be prepare/ready for what is coming on the horizon.  Thank you.


     there're already so many deals (eg: cap rate 8-9%) these days....in san francisco market 5-9 unit MF dropped like 30% from last purchased price. If you purchase with longer term fixed debt you may see some values. 

    I kept reading some apt is operating with DSCR 0.61x ; I bet there're professional buyer in line willing to buy those asset with large discount LOL

    1Reply
  • Shaheen AhmedPro Member
    Contractor · Los Angeles · Member since 2023 · 80 posts · 55 votes
    2y
    Quote from @Carlos Ptriawan:
    Quote from @Chris Huang:


    5+ Unit Multifamily can be tough right now. Sellers have low/no mortgages on their own properties, low rents compared to market, and high expectations for their sale price. All of that *can* be a tough recipe for a DSCR loan at max LTV (75-80% LTV).

    We even had one major national private lender bail completely on their 5-9 Unit Multifamily product as of this week. There are many options available still, but 2-4 unit properties are easier to stabilize and obtain financing for right now. 

    Yes, understood - we're preparing for when/if that distressed opportunity does occur (2024-2026).  Not sure, of the lending standards or guidelines for commercial loans.  We'd  like to be prepare/ready for what is coming on the horizon.  Thank you.


     there're already so many deals (eg: cap rate 8-9%) these days....in san francisco market 5-9 unit MF dropped like 30% from last purchased price. If you purchase with longer term fixed debt you may see some values. 

    I kept reading some apt is operating with DSCR 0.61x ; I bet there're professional buyer in line willing to buy those asset with large discount LOL


    0Reply
  • Shaheen AhmedPro Member
    Contractor · Los Angeles · Member since 2023 · 80 posts · 55 votes
    2y
    Quote from @Carlos Ptriawan:
    Quote from @Chris Huang:
    Maybe so but SF is so expensive for a beginner though. 

    5+ Unit Multifamily can be tough right now. Sellers have low/no mortgages on their own properties, low rents compared to market, and high expectations for their sale price. All of that *can* be a tough recipe for a DSCR loan at max LTV (75-80% LTV).

    We even had one major national private lender bail completely on their 5-9 Unit Multifamily product as of this week. There are many options available still, but 2-4 unit properties are easier to stabilize and obtain financing for right now. 

    Yes, understood - we're preparing for when/if that distressed opportunity does occur (2024-2026).  Not sure, of the lending standards or guidelines for commercial loans.  We'd  like to be prepare/ready for what is coming on the horizon.  Thank you.


     there're already so many deals (eg: cap rate 8-9%) these days....in san francisco market 5-9 unit MF dropped like 30% from last purchased price. If you purchase with longer term fixed debt you may see some values. 

    I kept reading some apt is operating with DSCR 0.61x ; I bet there're professional buyer in line willing to buy those asset with large discount LOL


    0Reply
  • Gino BarbaroPro Member
    Rental Property Investor · St Augustine, FL · Member since 2014 · 2k+ posts · 1k+ votes
    2y

    @Chris Huang

    DM me and I will connect you to a mortgage broker

    Gino

    Podcast Guest on Show The “Conveyor Belt” System That’ll Build You a BIG Rental Portfolio Quickly
    0Reply
  • Chris Huang
    OP
    Brooklyn, NY · Member since 2017 · 23 posts · 8 votes
    2y
    Quote from @Gino Barbaro:

    @Chris Huang

    DM me and I will connect you to a mortgage broker

    Gino


     Thanks Gino, will do -- I love your MF podcast!!!

    0Reply
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