All Forum Posts by: Dylan M. Davis

Does the duplex need any work to command good rents? This property sounds undervalued.. A bridge loan with some rehab money held back can get you in the property with low interest-only monthly payments to value-add - raise rents and refinance into 30 year cashing-out at 75% LTV.. just a thought

Financing STR is difficult to almost non-existent these days. If and only if there's a T12 on the property which usually when purchasing isn't there. 20% down does exist only with excellent credit. Rates are what they are.. If you would consider a bridge loan that could help you get 80-85% of the purchase depending on your experience/credit with some rehab money held back... Not too many good options if you're not liquid though...

You have to have a long term look. Not sure what you mean by "retaining 100% of the investment" what I can tell you is that by holding real estate rather than flipping, you realize the return on your investment over time, not immediately. Leveraging smart financing can keep more money in your pocket which I think is what you are concerning yourself with. You need to have a lender that can help take you from acquisition to exit. A bridge loan w/ rehab holdback and a clean 75% LTV cash-out at 6 months should allow you to buy more property and renovate it using someone else's money over and over again. No impact on your credit unless you default, you can have as many private money mortgages as you want.

Research your private lender thoroughly, feel confident that you're going to get your rehab draws done on time, ask if they do an exit into perm financing and what seasoning requirements are for that and what your projected DSCR will look like with the current rates..

I work with brokers all the time on deals. No license needed because private money lenders are typically not licensed "mortgage lenders". Private money leans on the marketing efforts of brokers and realtors to get their product out there so it's beneficial for everyone 

If  you're seeking a bridge loan (12-24 month) financing then experience flipping or holding investment property is necessary but not exactly what we consider for a DSRC (perm financing cash-out/ 30 yr 1-4 unit) loan. There's a questionnaire we have borrowers fill out but its not something that will kill a deal. what i'm interested in knowing here is how much skin in the game you have. You don't have 30+% equity in the house there will be no cash to take out, however you can still do a rate/term refinance and pay off the debt outstanding.

Make sure you understand how your financing is going to work if you're seeking private funding. Most lenders aren't considering STR's right now.

Hey there, depending on when you bought the property you could cash-out after 6 months of seasoning at 75% LTV. The floor rates are around 8.125% for cash-out..

You need a private company that will handle your acquisitions and exit into perm financing. 1-4 unit investment property DSCR cash-out refinance are at 75% LTV after 6 months seasoning.

You have to have 6 months of seasoning to qualify for a cash-out refinance. You can do unleased or leased rate/term refi before 6 months but other than a delayed purchase these are your options.