All Forum Posts by: Brandon Croucier
Brandon Croucier has started 2 posts and replied 626 times.
Post: 30 year Mortgage
- Lender
- Nashville, TN
- Posts 687
- Votes 279
Like others stated, if it was a DSCR, you likely have a prepayment penalty on the loan.
If it was a conforming loan, get a quote and look at the breakeven point for the refinance, its a matter of what makes sense to you.
Post: Private Money (Not Hard Money)
- Lender
- Nashville, TN
- Posts 687
- Votes 279
Private Money & Hard Money Rates are essentially the same.
The best pricing on something like this will come from a DSCR loan in which your income will NOT be used in the qualification of the loan. If the property has a negative yield, there are also options referred to as a no-ratio DSCR loan that do have slightly higher rates but allow you to have an LTV of up to 75 (assuming you have decent credit).
Post: To Lend or Not to Lend
- Lender
- Nashville, TN
- Posts 687
- Votes 279
If your secured, why not. Seems like a good return.
Post: Better.com Reviews - Refi Options
- Lender
- Nashville, TN
- Posts 687
- Votes 279
Quote from @Tyler Kesling:
@Brandon Croucier The HELOC is for $70K, the value of the property is roughly $140K. The only debt on the house is the HELOC. I used cash for the balance. I just trying to reif the HELOC into a traditional mortgage.
This should be easy to get done, a DSCR loan is probably your best bet, 75k is most investors minimum loan amount, payoff the loan & cover your closing costs. Happy to help.
Post: Early Refinance? Pros vs Cons
- Lender
- Nashville, TN
- Posts 687
- Votes 279
I would never refi a 1.74%, its basically free money.
Is this a 5 year ARM you got?
Post: Website listing business lenders?
- Lender
- Nashville, TN
- Posts 687
- Votes 279
Hey Magnus,
People here on BP would be glad to assist, what exactly are you looking to accomplish?
Post: Better.com Reviews - Refi Options
- Lender
- Nashville, TN
- Posts 687
- Votes 279
How much is the HELOC?
What is the current value of the property?
What is the remaining 1st position debt?
There are a lot of HELOC's on the market and going direct with a large lender may not be your best bet.
Post: New Construction Loan For Short Term Rental
- Lender
- Nashville, TN
- Posts 687
- Votes 279
Quote from @Chris Anthony:
Thank you for the replies. They are not experienced real estate investors, they are retired and looking to create additional income. They will be using a builder to build the property and a professional property manager to manage it.
The property is located on St Augustine Beach and other STRs have high occupancy rates, solid ADRs and are very profitable when managed correctly. Putting 20 to 30% LTC wouldn't be a problem. I would imagine the program would have to allow the projected rental income from the property to help them qualify from an income standpoint? What could they expect as far as rates/ points, etc...?
80% LTC is standard on ground-up construction, if they are using an experienced builder, have decent credit & the after-build value is sufficient, it should be a fairly straight-forward loan.
The main problem I see with non-experienced builders trying to build is lack of funds, they will need 20% of project cost + Closing Costs + 6 months reserves.
Post: Seller Stopped Responding
- Lender
- Nashville, TN
- Posts 687
- Votes 279
You are SOL, gotta move onto the next deal
Post: 11 year contractor turned full time REI.
- Lender
- Nashville, TN
- Posts 687
- Votes 279
Quote from @Simon Walker:
Quote from @Brandon Croucier:
Opportunity cost is a serious expense, if they are moving slow, they are COSTING you more money than what a hard money lender might able to make you. In Real Estate, TIME IS MONEY.
Getting a rehab loan done quickly is worth paying an extra few points in order to be efficient as you will be able to expand your BRR business which would yield results greater than the increased cost of capital that hard money brings.
In order to escape a scarcity mindset you need to understand that money is in theory unlimited, they print it.
But can you print time? Nope.
Time is your most scarce resource.