Working on the lending side across Fix & Flip, ground-up construction, bridge, and DSCR products, I regularly see where debt structuring either makes or breaks an investor's profit margin 📈.
A few common friction points happening right now:
⚠️ Weak Exit Strategies on Bridge Capital: Relying solely on a seamless DSCR refi without building in a 15–20% rate/rent stress test often leads to capital call crunches.
🚧 Draw Schedule Mismatches in Construction: Not negotiating flexible draw milestones with your lender can stall contractor momentum mid-rehab.
📉 Miscalculating DSCR In-Place Rents: Assuming future market rents for DSCR qualification rather than current lease terms or appraiser-determined market rent.
How are active investors currently stress-testing hold costs and debt structures before putting capital at risk?
Would love to swap insights with other borrowers and operators 👇