Flip refi to rental, high LTV

9 Replies

Hey BP community, I am in a bit of a pickle. I currently have a flip on the market in Denver that is not selling and hard money note is due in about 90 days. Here is the breakdown:

1st position loan at 2/12 - $486K

2nd position loan at 0/10 - $25K

3rd position loan at 0/10 - $27.5K

Personal money in the deal - $30K

Totals are about  - $568,500

Value of the property is about $600K

Looking to refinance the first loan to a lower rate and rent it out or seller finance the deal. I can keep the second and third position loans in place, but would like to get the personal $30K out

Does anyone have a recommendation for a bank or private lender that will finance around $520K+ (86%LTV) on a rental??? TIA

@Jake Adams Most conventional lenders will be at 80 or 75 LTV. Have you tried a community bank or some of those larger nation wide ( corvest finance etc) for a high LTV loan? How did you get 3 loans on this property...
@Jake Adams I think you need to figure out the actual value (it's not $600k if that's where its listed and not selling), drop the price, and sell it. What's the cashflow at $2800/mo. with 3 loans attached?

Thanks for the responses, I am currently looking at options for refi. However, I just received a contract on it last night! As long as this goes through I will get out of the deal (about a $20K loss), but will be able to move on!

Originally posted by @Jake Adams :

Thanks for the responses, I am currently looking at options for refi. However, I just received a contract on it last night! As long as this goes through I will get out of the deal (about a $20K loss), but will be able to move on!

I know this is an old post but what happened? I'm in a similar situation.