Updated about 2 years ago on . Most recent reply
Looking for DSCR or Portfolio Loan Options in Upstate New York
Closing on 6 homes in upstate NY within the next month. I'd like to let the money season and do a cash out refi or just do a package loan on all of them. These houses are 60-80k each, I'm a CPA/high earner with a FICO score of 790+. What are my options? I'm an out of state investor as I live in Las Vegas.
Most Popular Reply
#5 Mortgage Brokers & Lenders Contributor
- Washington, DC Mortgage Lender/Broker
- 2,759
- Votes |
- 4,876
- Posts
#5 Mortgage Brokers & Lenders Contributor
- Washington, DC Mortgage Lender/Broker
If the properties cash flow really well, then the difference between a 6% rate and a 7.5% rate shouldn't dissuade you from a DSCR loan at those loan sizes. It's less than a hundred dollars. To be stuck in the 7's or stuck in the 6's on a property that's making you money is not a bad thing. if the value is 80K, your options for DSCR are very limited. A 60K loan amount at 6% is $360 per month on a 30 year and at 7.5% it's $420. Hardly noticeable with guaranteed rents on a Section 8.
I wouldn't buy them thinking rates are going to come down any time soon. We've been at the low of the cycle for a while and with inflation and a possible recession rearing its ugly head (particularly in upstate New York), you won't see a decrease in rates for the next 8-10 years.
One girl's opinion
Stephanie