Investor · Milwaukee - Mequon, WI · Member since 2010 · 5k+ posts · 7k+ votes
Who are good lenders for a self directed IRA? I have worked with only one so far, but they only offer 60% LTV on older properties, which is basically all we have in the Midwest. I prefer higher priced properties for my IRA and that means a lot of down payment. Is it worth talking to local lenders about non recourse loans? TIA!
Rental Property Investor · New Braunfels, TX · Member since 2018 · 141 posts · 103 votes
5y
NASB will do 70% LTV non-recourse loans if the DSCR meets 1.2 to 1.25. I personally have found NASB to have the best terms but I haven't shopped around for non-recourse loans for a few years so I recommend you just keep contacting as many banks as you can and compile a spreadsheet of the terms and rates so that you can find the best terms for your deal.
Thanks Dmitriy - that is an awesome list and it also answers my question as to how much down payment is needed: unfortunatly it will probably be 40% plus operating reserves.
So I can either buy a cheaper building, under 250k, which is not my preference. Or look into some other ways to invest. I have funds sitting idle now for the second year.
Investor · Milwaukee - Mequon, WI · Member since 2010 · 5k+ posts · 7k+ votes
5y
Originally posted by @Account Closed:
NASB will do 70% LTV non-recourse loans if the DSCR meets 1.2 to 1.25. I personally have found NASB to have the best terms but I haven't shopped around for non-recourse loans for a few years so I recommend you just keep contacting as many banks as you can and compile a spreadsheet of the terms and rates so that you can find the best terms for your deal.
I am in the same boat Mike - problem is that our housing stock is old, so NASB requires 40% down, which in my case is another 30k. Other than that I really like working with them.