BRRRR - Buy, Rehab, Rent, Refinance, Repeat
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Updated over 3 years ago on . Most recent reply

Best lender for a BRRRR refinance
I’m in Seattle and I’m looking for refinance my first rental.
What is the time line I would be expecting for a refinance in Feb 2021?
Cheers
Dave
Most Popular Reply

@Sherief Elbassuoni @Whitney Hutten You guys are scaring him with your timelines.
If you go to a mortgage broker, they can usually get it done within 30-45 days and their pricing is pretty competitive too. I've even seen plenty of recent cases where they close a conventional loan in 2-3 weeks (usually only with an appraisal waiver). Although this was on a primary residence, I saw one close a cash-out refinance in less than 2 weeks by having loan docs sent out to escrow 3 business days after the borrower approached the lender; it still took 8-9 business days to close because of mandatory waiting periods on primary residences (such as 7 days from the CD and the 3-day right-of-rescission period). I can recommend some local mortgage brokers if you need it.
If you don't qualify for a conventional loan, try an asset-based 30-yr fixed DSCR rental loan (to your LLC). Those usually close in about 3 weeks and are much less of a headache to get than a bank loan (no DTI concerns, no tax returns, etc); you can be unemployed and still get a DSCR loan, as long as the property's cashflow supports it. Rates are going to be a bit higher than a bank loan though (averaging around 5%), but you can get as low 3.75% if you pay additional points upfront.
I just refinanced an out-of-state property last month (so not Seattle although I do live here). I had tried to do a conventional loan on it since last summer, but after 6 months of the lender continually asking for more documents, I canceled the loan and went the asset-based DSCR route (which was good because changing title from the LLC to my personal name was also becoming a headache). It was minimal documents, almost like a hard money loan. My rate was 4.625% so it wasn't too bad. The only thing I was unhappy about was that they closed it too fast... because two weeks later they announced that rates had dropped and said mine would have been 4.00%.