Need a cash out Refi in Texas

[Account Closed]

I need to Cash out refinance my duplex that I am currently living in the how is worth about 120k. The house is currently owner financed at 6% and I owe them 64k. The Name on the deed is my LLC. I want to do some improvement to the property to help the value. Anyone have any suggestions? I know in Tx you can only do up to 80% LTV I would like the get at least 70% LTV.

[Tom Sanders]

Since the property is in your LLC's name, you will need to get a commercial loan for the refinance. Terms can very significantly for commercial loans as almost everything is negotiable with them. However, it will be difficult to get 30 year amortization. An investor friendly local community bank down there on the gulf should be able to lend you 70 to 80% of appraised value, but you will probably be offered only 15 or 20 year amortization on the loan, with a balloon payment in 5 or 10 years.

Banks make money on their commercial loans by collecting points every 3, 5 or 10 years. If you title the property in your name and you can qualify for a traditional mortgage, you can get 30 year amortization and a lower interest rate than on the commercial loan.  

Talk to investor friendly lenders at your local REI and they should be able to point you in the right direction.