Need to Refinance A Flip from Hard Money - Help!

[Brandon Clay]

Hi BP Community,

I got into a flip in Pflugerville, TX (Austin-area). I could not sell it for a good price but I have a new tenant who has provided an LOI at a good price and a lease for 8 months. It may extend to 12 months.

Problem: I'm still in hard money at 11.95% at $200K. I just got turned down for a conventional loan because of high DTI ratio. I have an 800+ credit score and I'm looking for some options for the next 8-12 months.

Any suggestions?

[Melvin List]

I would first look at paying off some debt if possible with the equity to bring down your DTI if you have equity. Second I would look to see if you can qualify with bank statements. If you can't qualify with either of those options there are a few lenders that just look at the property and the rates are much less than what you are paying now.