I sold one of my rentals to a friend in a wrap purchase scenario.  It has now been over two years, he has never missed a payment, and for the last 12 months, has been paying the lender directly from his bank account.  The 1st position loan is still in my name, and I have the 2nd loan with the buyer.  We would both like to refi the property into his name, but he has 6 conventional loans already, and he is having a hard time getting another.  FYI, he is a real estate investor.  Anybody have a solution?  The home is located in California.  Thanks!

@Sam Stout He can get loan up to 10 finance properties. If he is on title already he can refinance on his name.

Originally posted by @Sam Stout :

I sold one of my rentals to a friend in a wrap purchase scenario.  It has now been over two years, he has never missed a payment, and for the last 12 months, has been paying the lender directly from his bank account.  The 1st position loan is still in my name, and I have the 2nd loan with the buyer.  We would both like to refi the property into his name, but he has 6 conventional loans already, and he is having a hard time getting another.  FYI, he is a real estate investor.  Anybody have a solution?  The home is located in California.  Thanks!

 It's not really possible to answer without knowing WHY he is having problems refinancing...

Is there anything in the loan documents that says that he HAS TO refinance?? If not, I dont think that you can force him. The few times that I have done owner financing I put a hard date that they have to refinance. If they dont, I am ready to foreclose. If they are trying or if I see that they can not refinance I would offer to take back in lieu of foreclosure. I have done that too. 

What is your agreement that is in writing??

@Sam Stout   Conventional loan guidelines allow up to 10 financed properties.  With 7-10 financed properties, he will need a 720 credit score, and adequate reserves.  If he doesn't meet that criteria there are other programs with reduced reserves and lower credit requirements.  Is he already on title to the house?