Looking to obtain a portfolio loan across a few properties to leverage up a bit. Lima One does 8% but I'd like to stay around 6% if possible. No pre-payment penalty preferred, though if there is a 1 or 2 year one that is fine. I am fine with adjustable rate or fixed rate, as long as there is no balloon payment. Don't care where the lender is, can be nationwide but properties are in NC.
Can anyone recommend a company I should look into?
Tags: Raleigh, Cary, Charlotte, Greensboro, Asheville, lender, mortgage, portfolio, loan
I know a few promising lenders in Asheville-
Dawn Morton at Firstbank,
Becky Girard at Hometrust,
Mike Morgan at United Federal,
and Tina Ketterer at Trupoint.
All are overworked and extremely slow as a result, but all offer portfolio loans at around 5.5%.
Asheville Savings Bank is good, but very limited and inflexible when dealing with investors
Avoid Steve Jennings at Carolina Alliance
Good luck and happy borrowing!
We offer private equity lending, although not sure if that fits your specific needs.
Would be happy to discuss. Drop me a note
You'll have to stay with a bank like @Chris Harjes suggested above to get the rate where you want it. Make sure you can qualify full doc if you're going with the banks. There are alternatives that are significantly faster, but for rate, you've got to endure the process with a bank.
BTW. Lima One isn't the only game in town for the second tier lenders.
Good luck and please accept my colleague request.
@Chris Harjes Chris, do the banks you mentioned do the loans to LLCs with PGs or just to individuals? Thanks.
They prefer to loan to LLCs, but they look at your personal financials, cash flow, credit, etc. I'm not sure where they draw the lines, but they're more optimistic than regular mortgage loans as far as credit score and number of financed properties. They are fans of solid income.
And Stephanie Potter is right to use the word "endure". It's been an unbelievably slow and difficult process to get anyone to actually come up with money- 2-3 months :(
Most small banks, where you will most likely get the best 'traction', will lend in small geographic areas. Asheville banks may not lend in Raleigh. Here's a list (from FDIC) of triangle based banks from Wake, Johnston, Harnett counties. I know for fact that at least two of these are chomping at the bit to lend. At least to well qualified borrowers. Read their SEC docs for more details on their specific underwriting or talk to one of their loan officers and schedule a meeting with their decision makers.
https://www5.fdic.gov/idasp/advSearchLanding.asp and fill in county and state.
|FDIC #||name||base city||base county||assets (in $000)|
|11063||First-Citizens Bank & Trust Company||Raleigh||Wake||32795513|
|59049||Capital Bank Corporation||Raleigh||Wake||7789968|
|11507||The Fidelity Bank||Fuquay Varina||Wake||1808293|
|35100||Paragon Commercial Bank||Raleigh||Wake||1479318|
|35519||North State Bank||Raleigh||Wake||794715|
|27704||Wake Forest Federal Savings and Loan Association||Wake Forest||Wake||106019|
|31077||First Federal Bank||Dunn||Harnett||169392|
|35465||Select Bank & Trust Company||Dunn||Harnett||844197|
|11506||Four Oaks Bank & Trust Company||Four Oaks||Johnston||721297|
|29771||KS Bank, Inc.||Smithfield||Johnston||352033|
I will leave it up to you to find your list for your county or counties.
About 100% sure if you don't call or contact them, they won't call you.
Are these residential or commercial properties?
hey there. Bumping this. Have a bunch of properties in Raleigh and would love to know lenders that folks have used for portfolio lending here!
I went through the laundry list on my last acquisition...
If you don't mind balloons, I had good convos with Paragon and Triangle Lending Group when I was last looking. I was also making progress with Crescom on great rates, but they had a sudden tragedy befall them (robbery/murders) that delayed things to the point where I had to break glass and look elsewhere. Horribly sad situation, but that bank was promising, and I'd recommend trying them.
I actually ended up getting great terms at Coastal Federal Credit Union, and I hope to continue working with them on future deals. There were a few hoops, but it turned out well, and their people have been great to work with.
Coastal Federal Credit Union work for small commercial property too?
How many properties in total are you looking to refi/acquire and what would be the value of the portfolio?
@Daniel Federico Thanks, but this is an old thread!! I ended up getting a refi from New Republic Savings Bank here in NC.
Not sure if anyone will pick this thread up, but I'm looking for a lender who can do 12+ financed properties on 30 yr fixed loans, financing 3 or so per year, at decent rates. Equity lines on existing properties would be fabulous, but I've had no success with that. My credit is great and income is solid, but DTI is becoming an issue as I add mortgages. I've used UFCU in Asheville lately with great results, but they have switched to only doing 15 year terms for investors which would eat up my remaining DTI too quickly. Anyone know of a good one who serves Western NC?
Hey @Chris Harjes I've reached out to my lender partner to see what he has for you.
Do you currently have 12 properties or are you looking to do 3+ per year until you reach 12?
I'm at 11 now, with two in hand, held in cash that I plan to refi once they're done later this year. Also building 2-4 more depending on how the land we bought slices up for us, and would dig financing them as well.
Hey @Chris Harjes not sure if this is what you are looking for. I just did a "blanket loan refinance" with 5 of my properties that what they did is moved all the existing loan into one and give me a business LOC on the equity side. The rate is decent and I love the flexibility of the LOC to use as it go. They did take a deep look on the cashflow history and my own income. The process was not bad. Let me know if that's what you were looking for.
@Jack Yen , yes this would be potentially appetizing for me. One bank offered something similar, basically refinancing everything that I own and intend to keep, which would net around $700k to play with. However it has a 5-year balloon, which seems terrifying. I've made a few good connections with local commercial lenders since I posted here. My favorite so far is Bryan Robinson at Nantahala Bank. He offers rates in the low 4s, set for 5 years, with a rate adjustment but a continued loan guarantee at that time. He looks primarily at cash flow, and uses actual 1099 income, not AGI. So I won't have DTI issues with him unless I quit my "real job" or try to buy half the county :)
@Jack Yen : Which lender did that blanket loan refi for you? Thanks!