Trying to get cash out from investment properties (no loans so far for these houses). I already have 4 mortgages and lenders I contacted will not do a cash out loan since i already have 4 mortgages. How can I get cash out from the the properties which I do not have any loan?
Welcome to BP @Simon Koithara
Keep calling around until you find another lender that will do it. A lot of banks have their own overlays (rules) on the limit of mortgages that they will allow a person to have. Four is pretty common. I've even had a bank tell me they won't do more than one. I also actually had a bank (Wells Fargo) tell me last week that their rules state you can only own four properties total (regardless of whether or not you have a mortgage on them or own them free and clear). That is just crazy to me. But there are banks (portfolio lenders) out there that will do up to ten. You just have to keep calling until you find one in your area.
The latest BP Podcast (#108) had a new sponsor...
A new commercial lender offering loans specifically for rental investors. B2R Finance could help you unlock equity from existing properties so you can get cash out now.
They have a link to them in the Podcast notes
Since this will be your 5th loan you would have to have owned the home for less than 6 months. Delayed financing is the only way this will work through conventional financing.
Get a HML or PML or portfolio loan and then you can do a rate & term refinance and repeat this process up to your 10th loans.
Give @Karen Schimpf a call or email and see can help you out.
I hope this helps and have a great day sir.
Shaun Weekes, Innovation Lending Solutions | [email protected] | 949‑610‑3126 | https://www.facebook.com/Innovation-Lending-Solutions-Inc-261955880814516/ | CA Agent # 0L51686
Would you qualify for a portfolio loan, since you've passed the 4-mortgage mark, @Simon Koithara ? Perhaps talk to some portfolio lenders and see what your options are.
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