All Forum Posts by: David Robinson

@John Underwood I agree

@David M. Mortgage Originator can be retail (purchase, refi, single family homes) with banks versus investment lender or private lender. Here is some differences

Private Lenders:

Higher Interest Rates –

Faster

Easier Approval Process

Less Regulated – More Flexible

More Customizable Loan Options

Banks:

Lower Interest Rates –

Slower

More Scrutinized Approval Process – Including Financial History and Credit Audit

Subject to Significant Government Regulations – Less Flexible

Choosing the type of lender that is best for a real estate investor is not simply a matter of the least expensive option available. A borrower that will not qualify for a bank loan can waste weeks, or even months waiting for a decision from a bank when they could have been approved and moved forward with a private lender in a matter of days.

In the end, the least expensive loan at the beginning may be the most expensive in the end

Strict Loan Options Due to Regulations

@Gavin Lewis I have never been a real estate agent, but I am currently an investment lender, and previously a mortgage originator. I will never let my license go, the testing was hard for me, but I did it,and I feel like its a great backup for income if I dive into another field or venture, and want to come back. Tennessee allows you to renew your license without a sponsor, most other states will require a sponsor even if your not using your license.

I really enjoyed helping people save money,or cutting years off their mortgage,or helping finance their purchase. I think you would have some of the same experiences between REA or LO, helping clients find or finance a dream home or first home, networking, And also some of the same negative experiences like a situation that fails and is out of your control, like low appraisals or unseen repairs. I don't see as many appointments on Saturday or Sunday as I believe a real estate agent sees,but I make myself available when the client is available. I think an LO can have more reach remotely , getting licensed in multiple states and opening up more regions. There is also multiple options in lending, like investment lending,commercial,or retail.

Feel free to connect and pm me if you have any specific questions.

@Justin R. Wow sorry to hear your story,but grateful for the lesson. Hopefully you have made more than enough since to cover that loss. Thanks for sharing

I want to learn from your stories of what works and what to stay away from when it comes to investment lenders, including portfolio loans,bridge loans,cash out, whatever scenarios you have to offer.

@Victoria Mason Is this for personal residence or investment property?

Is this for personal residence or investment property?

With Commercial Loans, DTI will not be a factor with Asset bases loans or credit based loans. Reach out to me if you have more questions, I will be glad to help. Below is some basic info on DTI to help.

Debt to income ratio is the monthly payments you owe subtracted from the income coming in. Add all your monthly payments up, subtract your monthly income, and divide debts to income- Debts / Income

Example- If you pay $1500 a month for your mortgage and another $100 a month for an auto loan and $400 a month for the rest of your debts(credit cards,small loans), your monthly debt payments are $2,000. ($1500 + $100 + $400 = $2,000.) If your gross monthly income is $6,000, then your debt-to-income ratio is 33 percent. ($2,000 is 33% of $6,000.) $2,000 / $6,000 = .33 (33%)

I know its an old post but great read. Thanks for sharing.