All Forum Posts by: Hans Restuccia

Corey Dutton

As to the SFAE Act- Corey is right again- in Fla. residential is 4 units and under. Over 4 units is exempt- so I have been told.

Bill Gulley

Bill said there were 5 questions as follows:

5 questions?

1. Why so high? (interest rate)
2. Why so short? (loan term)
3. Put how much down? (LTV)
4. Why so many points? (Pre-paid interest)
5. Where is the door? (No Thanks, I'm leaving)

LOL- he is right- let me see if I can come up w/ 5 answers we give:

1. Yes its high interest, short term, etc., so if you can get conventional financing you would be crazy to get a HML.
2. Next answer- you cant get conventional financing and this is your only option.
3. Same as 1 & 2.
4. Same as 1 & 2
5. Same as 1 & 2.

Welcome! Glad to have you!! Let me know if I can be of assistance in any way. (I am new to BP too- smile)

we give them a 5 day grace period- on 5th day we give them a Fla Statutory 3 day notice- during that 3 days notice period they have to pay a 5% late fee- if they do not pay on the 3rd day we file the eviction- ergo- on 8th day eviction is filed. Courts are very fast on evictions in Fla- takes about 15 day and you get a writ of possession and can have them out in 30 days- which is the deposit so you do not lose money unless they trash the place.

Adam Steinebach

On the question: "Do most HML's loan on equity based on the home's current condition or is the ARV taken into account?"

Good question- we only lend on the current value and give construction draws as they make progress w/ construction. But I do get the impression that other lenders will loan on the ARV value- I am also interested if this is being done because we would not do because in the event we make the loan and no work is done then we have lost our equity and it can become 80% of its current values or worse.

Karen Margrave
thanks for your kindness! Smile

Karen Margrave

I went back and read my post and now i understand- I said we do not care about the "borrower's experience" in rehabbing- I see now- yes - that is absolutely true- we only look to equity so a first time rehabber can come to us and if there is equity we will give him the loan regardless of experience.

At first I thought you were saying I did not care about the borrower experience with getting the loan from us.

My bad- I am sorry!! Too much multi tasking.

Smile.

see

https://www.google.com/search?client=safari&rls=en&q=hard+equity+loans&ie=UTF-8&oe=UTF-8

I just did a Google search of that term and several web sites came up.

Also as for the term "Hard Equity Loan" that is in common use in Florida and rest of east coast. The reason is that that is exactly what the loan is- it is based on the "equity" in the property and not the qualifications of the borrower.

Thanks much