Application Denied For A DSCR Loan

[Haniyf Mark]

Hello community. Recently I was denied a DSCR Re-Fi Loan on a deal I bought a year ago. The house took me forever and until now to finish. I was a little over my head and had to fund the project with my personal debt. Now that I'm completely finish, I was denied for refinance. Should I just put this house on the market sell it and call it. Any advice?

[Drew Sygit]

How long can you carry all the personal debt?

If you research why your FICO is 650, you'll find it's probably due to:
1) Too many recent accounts opened
2) Balances to limits too high
3) Too much overall debt

You can address #2 by moving balances around, but no way to know if that will be enough to get your FICO to 680+ for a better rate.

NOTE:

$120k @ 7% for 30 years = $798 P&I
$120k @ 8.5% for 30 years = $923 P&I

Difference of $125/month.
Is this really going to make or break your BRRR?