Accountant · Alvin, TX · Member since 2016 · 47 posts · 6 votes
I see a lot about how you should secure your method of financing prior to looking for a property. But many lenders want to see the property and the ARV before its even considered such as Hard Money Lenders and private lenders. What processes have you created, or techniques you have used to get your deals financed with private lending?
@Michael Koncaba - I've gotten appraisals done for the "as-is" and "as-completed" value. That way I know what I'm getting at the end provided I complete the requisite work. A small price to pay up front for yhat piece of mind that the value will be there at the end.
You need to cultivate relationships with several, funding the first couple of deals is the hardest by far...once you've done it the process (and the contacts) become easier.
I'm trying to get financed for my first property, so a little about me:
1. I'm 27
2. Have credit in the "Excellent" category
3. Have been at my job for 18 mos, work mostly in commish and on pace for $70k Gross in 2016.
My Problem: Lenders will only look at my base salary until 24 mos on the job, I can wait, but I don't want to and I'm good for this loan, my credit rating says that so I need to find a way for lenders to look at my income over the past 18 mos on top of rental income and base my buying power off of that. I've only been able to get approved for an $80k loan so far which does me almost nothing.