All Forum Posts by: AJ Exner

Quote from @John Fong:

I'm looking for a lender to work with to better understand my purchasing power. Currently have 3 rental properties. 1 is fully paid off and 2 with mortgages and HELOC. I currently have a primary and looking to convert it to short term rental. Can potentially open a HELOC on this property. There are many moving parts and am looking for advises from an experience lender on how to approach my situation. Thanks.

I think it just depends on what you want to do. I think building out a strategy and thinking about what you want to do moving forward is a great starting point because it doesn't seem like you have a shortage of options.

From leveraging your existing HELOCs, opening a new one, or fully refinancing your property that is paid off, it feels like the biggest concern I would have for you would be 'paralysis by analysis'. 

Sitting down and strategizing goals would be step #1, writing them down and committing would be #2, and I think #3 is figuring out the most cost effective way to get it done would be the propelling factor to making it happen.

Good luck! And happy to recommend and share my two cents if you are interested.

Hey Wes,

The world of REI is a great one, but that first one is always the toughest.

At least when it comes to the Memphis market, we have a few people at our firm that have personally invested in that area so that sounds great.

A lot of great opportunities out there, hopefully you can build a good team and get started and make 2024 a great year.

Quote from @LaDonna Anderson:

Quote from @AJ Exner:

Did you have any issues with your HML there in OK? I had a client out there that got hung up because of how OK does their title work and wondering if that was deal specific or not.

Congrats!

Thank you AJ. I believe that must have been deal specific. I have heard of issues with other investors stating that they were told "if it's a HML its NOT Cash". Not sure where they live. We have to be problem solvers in this industry so we have to figure out another way to Getter done, right?

Absolutely, and that was what we had to do there! Had to work with the title company on some stuff from a "few" years before our client had purchased it.

Are you planning on refinancing or selling once rehab is completed?

Quote from @Troy Stange:

I've been thinking about this forever and finally moving forward into REI.

I'm at 

(checks notes) 

step 1.

As everyone will tell you:
1- The first cut is the deepest
2- The first step is the toughest

So welcome! And I second Jake that getting some local stuff is going to be good, because fortunately (or unfortunately) building a good team is probably step #2 in this process. Getting a good realtor who understands what you are doing, a good lender that gets you what you need when you need it, and a good rehab team (if you are doing rehab) is going to be pretty key. 

Happy to help where I can! 

Did you have any issues with your HML there in OK? I had a client out there that got hung up because of how OK does their title work and wondering if that was deal specific or not.

Congrats!

Hey John,

Welcome back! Would love to connect and see how I can help.

Are you looking at potentially doing GAP funding or are you focused on more 1st position financing?

@Derek Nemec,

Does sound pretty straight forward. 

The difference between 70-75% is not insignificant, but 75% with a 740 should get you around 7.5%-7.75% pretty routinely while at 70% I'm starting to see some groups sniffing around low 7s to minimum note rates showing a 6-handle. 

Obviously, reduced leverage always helps, but at a 1.2 DSCR, that should be good. I know there are groups that, depending on where you are, can do 80% Cash outs down in TX. Is that where the property is located?

Hey @Anthony Zotto

Rate is going to heavily depend on leverage and credit score. Overall I'm seeing them land between 7-8% in the investment property/DSCR space, with some variability of course within that.

Happy to help if you need some.

Quote from @Staphon Smith:

@AJ ExnerI’d love to speak over the numbers is your number posted okay to text? Will need a hard money lender as well.

 Yes sir, that is perfect.

Thanks!

Quote from @Staphon Smith:

@AJ Exner I'm thinking about doing a fix and flip for my first to generate a nest egg and then either continue down that path or try some with the BRRR method/ Buy and Hold. How do you feel about the area south of downtown Little Rock?

Sounds like a good plan to me. The biggest thing is just making sure that the numbers work, and that the area/comps support those numbers. If you wanted to send me the information for any deal you are looking at, specifically the estimated rehab and ARV amounts, I would be happy to help.