What kind of lending can I get in NY?

Question

Hello guys, I am looking to ramp up our business. We have more than enough man power but our crews are sitting idly or working on other 3rd party tasks. We'd like to put them to work flipping more properties but unfortunately we only have $30-$50k to work with each month. So we are kind of stuck into only completing one flip per month or less if the market slows a bit.

We would love to have a HML that can fund some things for us. Either the home purchase or the purchase and the rehab. If you have any advice or suggestions, please post below or send me an email on here. Thanks!

George Despotopoulos · Answer

Hey Ronaldo. Just a heads-up, most hard money lenders typically have a minimum loan amount of either $50K or $75K. On purchase expect them to go up 75%-85% LTV andon purchase + rehab typically it is 80%-85% Loan-to-Cost or 70%-75% After Repair Value.

Fees and rates are higher with these as well. Generally 2 - 5 points at closing and rates 10% - 14%, with a 12 month term. You should go with a lender that does not have a prepayment penalty on hard money.

Ronald Starusnak · Answer

Tarik, I got your request on here. Could you please email me your contact? It would be greatly appreciated! Thanks!

Stephanie P. · Answer

@Ronald Starusnak

Please accept my colleague request.

10% to 20% down for the purchase of the property with a 100% escrow hold back is not uncommon for these type of transactions.

What kind of lending can I get in NY?

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