I'm in the middle of a second flip property in Fayetteville, NC, and we've decided to investigate turning it into a rental to add to our portfolio.
Currently, we are using a Rehab LOC from the bank to finance the purchase and repairs (75% of purchase price and 75% of repairs).
Does anyone have suggestions on how to finance this into a 30 year mortgage? A couple of banks and brokers said I may need to hold onto it for a year before I can refi it based on ARV.
ARV should be $115k. Bought it for $60k and have put in about $35k.
Complicating matters - I already have 4 residential loans: primary residence and 3 rentals.
Potential solutions - my wife isn't on any of my property loans and neither is my business partner, so maybe they can "buy" the property?
You can get more than 4 loans. But waiting the year may be necessary. I would try credit unions and small regional banks.
Thanks for the suggestion @Walt Payne . My LOC is with a small local bank in Fayetteville. My broker is checking into some options for me, but so far it has been "wait 1 year" or "buy it first with cash or your HELOC, do the repairs, then we can refi it".
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