Refinance a Rental Property

[James Burciaga]

I have a single family home, with a garage apartment (both rented) that I purchased from my parents with a private note from My existing business.  I'd like to refinance the purchase so that I can pay my company back and have some extra cash for repairs on the property.  The current note is about $105k, the value of the home is upwards of $290k. I'd be looking for a $150k loan.  Not sure that this is a deal to take to one of the big banks.  What other options would be available?  

[Jonathan Taylor]

@James Burciaga from what you posted this does not sound like a tough deal. Is the garage apartment fully permitted? 

You have two options. Refinance with a conventional loan that would qualify you on your W-2 income and overall DTI. This will be vested in a personal name as most conventional lenders do not lend to LLCs/business on residential 1-4s.

If you want to qualify based on the rents of the property, we can do a DSCR loan that qualifies based on the rents received and the new loan loan payments you will obtain. You can easily vest in an LLC with this option.

What other questions do you have?