All Forum Posts by: Andrew Garcia

Hi @Philip Levi, I agree with Sasha.

1. A mortgage broker that specializes in investor loans is your best bet. Shop around with 3-4 to ensure that none of them are out of line. If you want a step-by-step on shopping lenders, please let me know.

2. You could refinance now to lock in your interest rate and high appraised value. Then, if rates improve in 6 months, you could do a rate and term refinance with lower costs to lower your rate and monthly payment. You can get your cash in as little as 2-3 weeks so I would wait until you can actively search for deals. If your schedule is super busy for the next 3 months, it might be better to wait.

3. Talk to a CPA.

Hope this helps! Let me know if I can be of any assistance.

Hi @Dylan H., the good news is that you do not have to wait to get married.

The number of maximum financed properties is based on who is on each loan. 

Therefore, if you and your girlfriend are both on the loan for 10 properties, then you are maxed out.

However, if you are the only borrower on 10 properties, your girlfriend can have 10 financed properties in her name.

Hope this helps! Let me know if I can be of any assistance.

Hi @Chris Irvin, 

If you go to the "Network" tab at the top of the screen, you can type in  "Tampa, FL"

From there, you can connect with people in your local market.

Just remember, don't send too many at once as the algorithm will block you.

Hope this helps! Let me know if I can be of any assistance.

Hi @John Carbone, you can refinance down to some pretty low credit scores.

For conventional, you can refinance down to a 620 credit score. For DSCR, it varies but it is generally around 600.

Your rate will be higher with a lower credit score, however.

Typically, people get a loan to cover the purchase + rehab either through hard money lenders or non-QM lenders. It typically requires 10-20% down.

That way, you do not have to ruin your credit.

Hope this helps! Let me know if I can be of any assistance.

Hi @Eduardo Paz, if the pre-sale property is not expected to be delivered for 6 months, I would say the condo is best.

I say that because you could do a cash-out refinance after owning the property for 6 months so you could take that 70% out.

If you are going to do a DSCR refinance, I would recommend buying the condo now because you do not have to wait 6 months for the DSCR loan.

Hope this helps! Let me know if I can be of any assistance.

Hi @John Leviege, it looks like a great deal either way!

However, if you are going to hold onto it, I would put a portion of that cash flow to paying down the principal.

With the way that rates are going, having a HELOC open for years and years is not a good idea.

Other than that, if you can get more cashflow than that by putting 100k somewhere else, by all means, do it but that is a very high ROI.

Hope this helps! Let me know if I can be of any assistance.

Hi @Tony Lord, someone made a comprehensive list HERE.

You can also look into getting a HELOAN, which is similar to a second mortgage.

The rates are higher but it is a fixed-rate fully amortizing loan.

Therefore, generally, if you are putting the funds towards long-term projects, a HELOAN is better. If you are looking for a shorter term use of the funds, a HELOC is a better product.

If you want my personal recommendation on either a HELOC or a HELOAN, please let me know.

Hope this helps! Let me know if I can be of any assistance.

Hi @John DeWitt, congrats on the deal!

There are a few issues with using a HELOC to buy additional properties.

You need to make sure that you have a strategy to pay back the HELOC.

If you end up keeping it open for 3+ years, you could be paying double-digit interest rates and still not have paid down any principal.

Keep an exit strategy in mind. What will you do if rates continue to hike? Can you afford the higher payments? Can you pay down the principal?

HELOCs are generally better for short-term financing, such as using those to fund a rehab or a flip where you will get paid enough at the end to pay the monthly payments as well as pay down the principal.

Hope this helps! Let me know if I can be of any assistance.

Hi @Andrew Joseph, you can use the "Find an Agent" tool at the top of the screen to get connected with an investor-friendly realtor in those areas.

Hope this helps! Let me know if I can be of any assistance.

Hi @Nerlande Joseph, it does not seem like you like the portfolio 5-year ARM loan. If you do not feel comfortable with it, do not do it.

If you want to keep both of your properties while buying the small multifamily, a HELOAN might be your best option.

It is a second lien that allows you to keep your current interest rate. The second lien will have a higher interest rate.

It is a fixed-rate, fully amortizing loan so there are no special features other than it being in a second lien position. It can go up to 90% CLTV so you would only gain around 2-4% after accounting for realtor fees, closing costs, etc. if you were to sell the property.

Otherwise, you can sell the condo and put all the equity towards the small multifamily.

Hope this helps! Let me know if I can be of any assistance.