Rental Property Investor · Willmar, MN · Member since 2017 · 22 posts · 12 votes
I'm curious if I'm getting good rates from my local lender. I've done about 10 deals with them and they're extremely flexible. Right now they're loaning me 75% LTV on a rehab house based on what the appraisers opinion of what the ARV will be. So they're very flexible with me but here are the general terms I'm working with
25% down
5.5% Interest
15-20year AM
5 year balloon
I'm fully aware that I'm able to get a secondary market mortgage then quit claim to my LLC but because all of these are in partnerships I don't want to do that at the moment.
For a commercial lender what kind of terms do you get?
Mortgage Broker · Dallas, TX · Member since 2017 · 657 posts · 275 votes
6y
@Ben Dols
Need more info. Are they lending you money while the house is under rehab? Or is the home already rent ready. Is this for purchase or refinance? What is the seasoning required on title for them to lend?
Rental Property Investor · Cambridge, MA · Member since 2016 · 634 posts · 415 votes
6y
I'm getting 20 year am, 5 year balloon at 5.67%. These were the terms of my latest refinance about 4 months ago. I would venture to guess that if I were to try to buy or refinance a property in the current rate environment, it'd be closer to 5.25-5.50% with the same amortization period and balloon period.