I'm cash out refinancing 3 multi family properties in Los Angeles. They range from 8 to 20 units.
I want short term (3 year fixed) and max LTV.
What is the best rate I can expect? Best spread off the 10 year or 6 month Libor?
I'm not looking to pay any points.
@Kenneth Hartog ...Did you find what you're looking for? Interesting to me, as why the short term? Are you planning on dumping them in 3? It might be a hindrance with many lenders..I know some offer a 3 YR but I don't feel that it's standard.
I think depending on income/DSCR constraints, you could get to 80 LTV on the cash out. It is available with certain lenders' programs. Otherwise, expect 70-75% max, depending on lender.
Throwing this out there as food for thought- if you only are going to hold for 3 (assumed), what if you could get a 3 Yr I/O, to maximize cash flow?
I feel no points could be arranged for the right lender/program, but that's not going to be necessarily easy either. Rates should be anywhere in high 3s-mid-4s.
@Kenneth Hartog if you haven't found suitable terms yet, I'd love to chat. I can connect you with our Finance Director, my firm is able to get some great rates and terms.
I'd also be happy to help you find new properties if you are looking to buy with the proceeds from your refi.
Send me a DM and we can talk more.
Thanks and best of luck.
@Jared Rine 3 year I/O is a great recommendation. The lender would probably not go above 70% LTV, but 3 years would give you time to reposition another property.
@Anthony Dooley ..appreciate it. I never heard from the OP, but I figured it was food for thought, whatever he ended up doing. Most guys want to hold longer than that, so just thought it was an option, if that really is the exit, then it would make the most sense, at least to me, from an investor perspective.