Advice needed on financing condo deal
Whats up BP. I have a deal here in the Bay Area that im currently in contract on and I would love to see if I could get some advice on my current situation.
DETAILS-
I have an off market condo in contract. Purchase price 65k. Rehab 5k. ARV 90k.
My play was NOT to flip this. Instead it is to buy (using cash), rehab, rent, and slap financing on it once completed. So by using a conventional 30yr loan at 75% LTV(90k ARV), I get to cash out approx 67k (for discussion purposes closing costs, etc will be left out). The condo has going rent rates at $1299/month. After PITI + HOA it cash flows a little over $400/month. Everything regarding the HOA's approval for a rental is checked off.
SO HERE'S THE CHALLENGE- the condo complex has more than 50% of the units as rentals. Also I heard that the HOA may have been in recent litigation. Due to these two reasons, I have been told that conventional financing will not work.
MY QUESTION TO YOU- does anyone know of any other lenders that will lend on buy and hold condos in this situation?
I know Lending Home at one time had a buy and hold product where the interest rate was more attractive than hard money, but it has been dc'd. Ive talked to a couple hard money lenders as well and they did not do longer term plays. So any help would be greatly appreciated! Thanks to all in advance.