All Forum Posts by: Alan Lacey

Quote from @Patrick Roberts:

Something is very wrong here. Either your lender is an idiot or you dont actually own this property. Not enough info to determine anything outside of this observation.

Or they are trying to structure as a purchase so you get lower purchase money rates without higher adjustments for a refi, but if you are already titled then that doesn’t make sense to be honest as a underwriter will not let that by.

I think some of the responders are not familiar with Texas 50a6 rules. If the property in question is considered your TX homestead correct you cannot take cash out because you can only do a 50(a)6 tx cashoutloan on a primary. What I am not sure about is if there is a way for your only property in TX not be ahomestead. You may want to talk  title co you closed the loan at about that. If it is not considered a homestead then Jay is absolutely right, and those lenders probably not realizing that the 50(a)6 restriction only applies to homestead properties and can do  inv. prop cash out same as everywhere else.

I would certainly recommend shopping that around a bit just to make sure that is best available. Assuming dscr because that would be too much in fees to be allowed on a conventional deal

Rent value is based on the county and number of bedrooms. I can’t r ember where the link is to lists but if you google it it should come up on hud.gov somewhere

There is no seasoning requirement to refinance a conventional loan. If you called the lender that did the original loan they may just be trying to prevent themselves from getting portion of commission recaptured from an early payoff. There is a 12 month loan seasoning requirement for a cash out loan, and fha and Va have seasoning requirements for rate and term refinance, but assuming as it is investment property that is not applicable.

they would only list it as a fsbo if you are owner and not part of mls I would think.

This cpa/real estate podcast has quite a bit of info on all the STR tax components

https://podcasts.apple.com/us/podcast/tax-smart-real-estate-...

Quote from @Henry Lazerow:

@Alan Lacey so if someone had no job they would still be approved for any cashflowing property that brought their DTI up to sufficient ratios?

If they had required landlord history to use rental income above just offsetting the payment and rental income resulted in qualifying dti I guess, but that would not be a common scenario when using long term rental income. Maybe if you had a really large down payment and a free and clear primary etc.

That is correct, and without landlord experience it can offset debt. The lease has to be supported by rent schedule on appraisal, and not a lot of million dollar properties are going to pencil out even with the larger down payment requirements, but it could. The fnma guide is best reference there is handy chart in there https://selling-guide.fanniemae.com/sel/b3-3.1-08/rental-inc...

https://www.neighbor.com/?cq_cmp=20531807643&cq_term=&am...