All Forum Posts by: Fernando Corona

im interested!! and wow, no origination fees is attractive for sure! sent a connection request.

@Erik Estrada I went ahead and removed the states entirely, you're right that I should be more cautious. There are 2 main lenders that will do 80% cash out and they don't charge brokers origination fees because they're wholesale lenders. What I love about them is they will even accept the higher lease amounts over the market rents if we can show first month's rent and security deposit. The best part is there is no ownership seasoning period with one of these lenders and they don't report to personal credit. These lenders allow you to originate your own loan if you are a broker with them. So when my clients work with me, I simply guide them through the process of originating their own loan (legally, in the states that allow it). It's a different business model than the typical broker-investor relationship. I take the approach of the investor pays me a fixed fee to learn this on their own so they never have to pay me again if they don't want to. This allows them to pay $0 in origination fees and once they learn it, they don't have to pay anything aside from underwriting fees. I just had a client close his first refinance loan and he only paid $1645 in UW fee. Check out this reply when I asked him how long he spent closing his own loan. It's the vision I have that if an investor is capable of doing their own loan, they just need to know how.

@Erik Estrada I actually wrote a BiggerPockets blog on the topic and will continue to write about it. Happy to share that here: https://www.biggerpockets.com/member-blogs/15969/104415-the-...

@Erik Estrada I'm an investor, a consultant, a broker, a lender. All of the above. There are 39 states where no license is required to do business purpose, DSCR, P&L, SBA, commercial, self storage, etc type of loan products. The whole point of this business model is to help investors take back control and pay $0 in origination fees while still getting the best rates and terms.

This isn't true. there are lenders that do 80% cash out refinances - DSCR isn't the only loan type you can close in an LLC to get 80% cash out...and there are many lenders where investors can get 0% origination fees --- keyword here is "lenders", not brokers. Brokers are usually the middle man between the lender who is charging the broker 0% origination to the investor. The lender allows the broker to keep all the origination fees. So there's a strategy for investors to get the same deals that typical brokers get. Not only have I personally brokered 130+ loans in 2024, but this year I'm already helping investors do this with 0% in origination fees. @Alex Patton

 I also disagree with this. there are many lenders that do not have a seasoning period whether you recently had a rehab completed or not. I have a lender that will do cash out refinances even if no rehab was done on the property, using the higher appraised value the day after you buy a house. It's just a matter of knowing where to go....oh and this is possible with 0% origination fees and without increasing the rate...not a bait and switch, i have a different compensation model.

I disagree with this. there are ways to get to 80% cash out and 0% origination fees and rate will be in the high 7s and you'll have a great experience @Alex Patton

@Alex Patton, i might be the only one to tell you there IS a way to get to 0% origination fees. Every broker (including me) has the ability to give a 0% origination fee WITHOUT increasing the rate. It's just a matter of discussion and transparency. Most brokers only have one way to monetize their skillset --- although there are many ways I've gotten my investors 0% origination fees, without increasing the rate. This isn't a bait and switch, I have a different compensation model than charging a % of loan amount. One that puts transparency and control in the hands of the investors. 

I'd like to ask if we're all assuming a conventional of FHA loan? In the OFF-chance (not as common), you're looking to get into a DSCR loan...there are ways to get no origination or processing fee by originating your own loan (yes this is possible and you can do it in 39 states without a license). The "cost" here is your own time.

@Sheila Siegel go ahead and message me if you're still interested