Private Lending & Conventional Mortgage Advice

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Aviv Berkovitch
  • New York City, NY
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Bank of America refinance properties limitation

Aviv Berkovitch
  • New York City, NY
Posted Jun 18 2019, 13:11

Hi

I just finished a call with a Bank of America loan representative, and he told me that since I own more than 5 properties, I can't refinance them.. any of them. "this is the guidelines of the bank"

I purchased all the properties with cash, and I don't have any loans or mortgages.. can someone encounter in the same situation?

Thanks

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Kevin Romines
  • Lender
  • Winlock, WA
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Kevin Romines
  • Lender
  • Winlock, WA
Replied Jun 18 2019, 13:24

This sounds like a Bank of America rule. You should be able to refinance any and all. Fannie Mae limits you to 10 properties. Portfolio lending generally doesn't have a limit on the numbers of financed properties. Go to a Banker or a broker and you will get them refinanced. 

If you need a referral, let me know?

Lender Missouri (#161554), Iowa (#161554), Florida (#161554), Texas (#161554), North Carolina (#161554), Ohio (#161554), Idaho (#161554), Oregon (#161554), and Washington (#161554)

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Chris Mason
  • Lender
  • Sacramento, CA
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Chris Mason
  • Lender
  • Sacramento, CA
ModeratorReplied Jun 18 2019, 13:48
Originally posted by @Aviv Berkovitch:

Hi

I just finished a call with a Bank of America loan representative, and he told me that since I own more than 5 properties, I can't refinance them.. any of them. "this is the guidelines of the bank"

I purchased all the properties with cash, and I don't have any loans or mortgages.. can someone encounter in the same situation?

Thanks

 Find a new lender; and if you want the wholesale interest rate pricing then go through an independent broker while you are at it.

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Jerry Padilla
  • Lender
  • Rochester, NY
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Jerry Padilla
  • Lender
  • Rochester, NY
Replied Jun 18 2019, 15:33

@Aviv Berkovitch

You should be able to cash out refinance on up to 10 properties with conventional financing. Your DTI's will be taken into consideration, along with your credit and reserve requirements. Maybe they have a lot of overlays?

A SFR requires an LTV of 75% for an investment property and a MFR requries an LTV of 70% for a cash out mortgage.

Lender NY (#NMLS 1084877) and Prime Lending Licensed in All 50 States (#NMLS 13649 )

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Joshua Baker
  • Lender
  • Orlando, FL
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Joshua Baker
  • Lender
  • Orlando, FL
Replied Jun 18 2019, 15:42

@Aviv Berkovitch

Sounds like a bank specific overlay Aviv. As @Chris Mason mentioned, using an independent broker will give you more flexibility and better rates/fees.

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Aviv Berkovitch
  • New York City, NY
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Aviv Berkovitch
  • New York City, NY
Replied Jun 18 2019, 23:52

@Joshua Baker can you recommend for someone that work in Indianapolis?

Thanks

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Mike D'Arrigo
  • Turn key provider
  • San Jose, CA
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Mike D'Arrigo
  • Turn key provider
  • San Jose, CA
Replied Jun 19 2019, 12:24

@Aviv Berkovitch I believe what they are telling you is that you can't do a cash out refinance with more than 5 mortgages. What you're trying to do would be considered a cash out refi. 

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Russell Brazil
  • Real Estate Agent
  • Washington, D.C.
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Russell Brazil
  • Real Estate Agent
  • Washington, D.C.
ModeratorReplied Jun 19 2019, 12:29

BoA has some of the most ridiculous loan overlays. Use a good lender and not the s*it show that BoA is.

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Joshua Baker
  • Lender
  • Orlando, FL
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Joshua Baker
  • Lender
  • Orlando, FL
Replied Jun 19 2019, 17:48

@Russell Brazil

This made me laugh out loud as I am still hunting a clear to close from BoA. I might retire before it comes through.

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John Bianco
  • Specialist
  • New York, NY
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John Bianco
  • Specialist
  • New York, NY
Replied Jun 20 2019, 19:32

@Aviv Berkovitch what kind of properties are they?

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Aviv Berkovitch
  • New York City, NY
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Aviv Berkovitch
  • New York City, NY
Replied Jun 22 2019, 14:53

@John Bianco

All of them SFH

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John Bianco
  • Specialist
  • New York, NY
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John Bianco
  • Specialist
  • New York, NY
Replied Jun 25 2019, 05:06

@Aviv Berkovitch

Messaged you

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Jared Rine
  • Lender
  • Sacramento, CA
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Jared Rine
  • Lender
  • Sacramento, CA
Replied Jun 26 2019, 18:26

@Aviv Berkovitch..find a better lender.  If i could do conventional in your state, I'd say to reach out.  But yea, go to a better lender.  That's ridiculous. You should be able to refinance all of them, depending on the assumed income from them and your qualifications.