Will a bank refinance ? Wichita, KS

Question

Hi,

I will be investing in Real Estate in Wichita, KS and I want to know, if I use short term money (hard money, private money) how do I know for certain a bank will refinance the 70% LTV after 6 months to 1yr?  I know I should have exit strategies just in case they don't, but what steps can I take to be confident they will refinance? Do I need W-2s etc. ?

Thanks!

Jimmy Dang · Answer

In most cases, you are going to reach out to a lender and ask for a preapproval letter. The lender will ask you a few qualifying questions over the phone, and then send you a loan application to fill out. They will usually also send you a list of items you need to acquire for them (taxes, pay stubs, etc.).

I had difficulties getting a loan since I was out of state (out of country really) however I found a lender that was able to help me. Send me a private message if you are still having difficulties.

Jared Viernes · Answer

@Aqeelah M. you should definitely read @David Greene’s book about investing in real estate long distance. On the financing section he goes over how to find a great lender and what to look for. One piece of advice he gives is to develop the relationship before making the purchase so you know that your lender understands your plan. You give yourself the best chance possible by clearly identifying your criteria, plan, and team you will use. Greene’s book has a lot of actionable tips to implement and should help guide you.

Good luck! There is a big community of investors here in Wichita who love to help other investors, make friends.

Jerry Padilla · Answer

@Aqeelah M.

I would speak with a lender about the purchase first.

For conventional financing you will need w-2 and many lenders have $50k minimum loan amounts.

There are renovation loans out there as well, but down payments will be 20% for a SFR and 25% for a MFR. The ones that I am aware of, you are limited to 4 financed properties.

Will a bank refinance ? Wichita, KS

Most Popular Reply