Seeking Commercial Financing in Arizona

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Seeking Commercial Financing in Arizona

Billy Raz
Los Angeles, CA · Member since 2014 · 33 posts · 1 vote

Hey Everyone –

I wanted to see if anyone knows of any good non-FNMA lenders in Arizona. I’ve been buying in Tucson.

I've reached the 10 max with FNMA. I'm in contact with a company called Priority lending. They've quoted me 5.125% 30 year fixed, 70% LTV based on purchase price. However, they want 2 points for brokering; this is my main complaint.

I purchased my 11th property this week at the sale, and want to get going on the refinance ASAP.

Any suggestions, referrals?

Thank you,

Billy

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  • Billy Raz
    OP
    Los Angeles, CA · Member since 2014 · 33 posts · 1 vote
    10y

    I don't want to just accept that.  Everything's negotiable, and by finding more than 1 commercial lender to work with I'll negotiating power against the other.

    Thanks,

    Billy 

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  • Chris Viglietta
    Rental Property Investor · Los Angeles, CA · Member since 2015 · 74 posts · 10 votes
    10y

    @Billy Raz How much are you looking for? I may know somebody.

    0Reply
  • Billy Raz
    OP
    Los Angeles, CA · Member since 2014 · 33 posts · 1 vote
    10y

    Purchased the property on Wednesday.

    Purchase Price: $125,000

    Approx. FMV: $145,000

    In a perfect world, max LTV based on the appraisal. 30-year fixed. Low rate. Minimal closing costs.

    Yes, please let me know if you have somebody, thanks!

    Billy

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  • Darryl Dahlen
    Commercial Loan Officer · Southern Maine, ME · Member since 2009 · 782 posts · 415 votes
    10y

    How are you getting 5.125% fixed for 30 years on a commercial product? That sounds like a residential loan.

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  • Billy Raz
    OP
    Los Angeles, CA · Member since 2014 · 33 posts · 1 vote
    10y

    Hey Darryl –

    Yes, this is a residential loan inquiry on a SFR.

    However, after 10 FNMA-financed properties, investors have to resort to a “commercial lender” aka “portfolio lender”, or some other lender.

    This is at least my understanding.

    Billy

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  • Billy Raz
    OP
    Los Angeles, CA · Member since 2014 · 33 posts · 1 vote
    10y

    So purchased all cash at the trustee sale, own it out-right, just waiting for the deed to record.

    Seeking delayed financing (AKA cash-out). 

    0Reply
  • Billy Raz
    OP
    Los Angeles, CA · Member since 2014 · 33 posts · 1 vote
    10y

    Anybody else know any good lenders?

    Thanks. 

    0Reply
  • Darryl Dahlen
    Commercial Loan Officer · Southern Maine, ME · Member since 2009 · 782 posts · 415 votes
    10y

    So the purchase price was $125,000 and you had an issue with someone making $1750? I could see you having an issue if the loan was higher, but 2% on a loan that's under $100,000 loan is fair.

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  • Billy Raz
    OP
    Los Angeles, CA · Member since 2014 · 33 posts · 1 vote
    10y

    That's correct.  2 points will = $1,750. 

    And then you have the closing costs on top of this.  

    Sorry if I sound stubborn.  I've just gotten use the FNMA loans I suppose.  

    Anyway, every dollar affects the bottom line.  

    All I'm looking for is some negotiating leverage.  And it's always a good idea to get a second quote.  

    Any suggested commercial lenders in AZ?

    Billy  

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  • Jermaine Southern
    Investor · Phoenix, AZ · Member since 2016 · 11 posts · 8 votes
    10y

    @Billy Raz working with residential loan officers vs commercial loan officers it seems the commercial guys are more transaction oriented vs (residential) relationship oriented. Let them know you'll be doing more business with them. And if you find someone willing to cut a deal. Let me know. 

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  • Billy Raz
    OP
    Los Angeles, CA · Member since 2014 · 33 posts · 1 vote
    10y

    Thanks for feedback.  

    Anyone else?  Commercial lenders in AZ?

    0Reply
  • Billy Raz
    OP
    Los Angeles, CA · Member since 2014 · 33 posts · 1 vote
    10y

    For the record, Priority Lending has been helpful in my inquiry so far. And they are a reputable company.

    My purpose in this post is simply to be aware of other commercial lenders in the market. 

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