Updated about 8 years ago on . Most recent reply
How to acquire lines of credit
Hey all,
Just looking for some quick advise. Who out there has gone into a local Credit Union or small private bank and actually got a line of credit. I am actually in the middle of a Rehab for a BRRRR strategy and I will be putting a tenant into the property soon and hope to refi out of my short term hard money. My plan was to open an account with the bank in the next week, and perhaps approach them after the 3-6 month mark (seasoning period) and talk to them about refinancing into a long-term loan. Maybe it will be a good number maybe not, but really I want to form a relationship with them and eventually try to workout a line of credit for future deals.
I plan to provide a detailed folder with the current project start to finish, and show them the numbers from the BP calculator and how I worked the entire process. I already have my eye on some properties in the same area but surprise surprise, I need the money! Any extra tips on how to really impress the financing officers in banks would be really helpful. I figure I will wait until this project is done and successful first, this way I will have some creditably. There was a podcast not that long ago that a guy talked about bringing in some sandwiches to the bank and he ended up with 100k worth of a credit line. Not a bad idea.
My credit is excellent and my income is high so I have those bases covered. Any other advice would be great. Thanks BPers!