All Forum Posts by: Darnell Lockett

Hi @Tiffany Henning. I know I'm late to this post, but did you ever find a solution for your problem with six month seasoning requirements? If so...great. If not I'd love to talk with you. A DSCR loan could be a solution. Many of them don't require six month seasoning. Many of our clients have been in similar situations such as yours. We put them in DSCR loans and typically get them closed in very little time at all. They are quick to close.

Looks like it’s going to be a fabulous event @Yana Epps. I’ll definitely try to make it. 

As many have already stated @Chibueze Nwadigo, a DSCR loan would probably be the way for you to go. I'm not sure why your lender didn't at least mention that to you. The seasoning requirements for them are NOT the same as for conventional loans.

Hi @Jennifer Turner. Yes its always important to have multiple exit strategies in place. It's great you allowed the existing tenants to do a month to month. Goodwill can go a long way. 

Hi @Brisa Del Cojo. Tell your lender you want to close in a LLC using one of their DSCR business purpose loans. They are very simple and fast to close. We originate DSCR loans all the time for our investors.

What’s up @John O'Leary. I see you’re a fellow LO as well. I’d suggest Arbor Realty for self storage. They’re a great commercial lending partner for our company. I know you focus mainly on residential, but Arbor really makes the process of any LO to originate a commercial loan with them simple. 

This isn't the early 2000's @John T Coykendall. No one is lending like that anymore. If you're truly determined to start on such a large scale, find someone looking to buy that type of property and either wholesale it to them or ask them to JV the project ( be prepared to give up at least 60-70% of the profit on the deal since they're bringing the capital and experience). I'd suggest you start small (2-4 units) and work you way up.

I know I'm several months late to this post but I'm confused @Marquis Cobb. You completed an apartment syndication mentorship program which you had to pay for, but the mentor wouldn't sponsor that deal for you? What did you actually get out of this paid mentorship if I may ask? My apologies if I'm misunderstanding your post. Getting someone to sponsor a deal for you is no easy feat, especially as a new investor. I do hope you were able to get it done however. 

You can use FHA if you're going to be residing in one o the units @Charley C.. Of course the property will have to pass the self-sufficiency test if it's a 3-4 unit complex. Otherwise you won't be able to use FHA. As for income limits...unless you're in an extremely high income area, you should be good, even for new construction. Of course you can always go with a DSCR loan for new construction. It takes into account the subject property's current or potential income. I use them for my personal portfolio, as well as for our investors who go through us for their loans. They are excellent tools for expanding portfolios.