All Forum Posts by: Issac San Miguel

Agreed; 16k in origination, buydown and fees is excessive.

This would likely look like 8.375%, and 2-3.5% of loan amount in fees, including origination, doc prep, uw, etc.

My question would be on the no seasoning - how long have you owned the property?

Ouch! I with a lower LTV I am still in the 7s.

How much is title fees, insurance, etc?

Appraisals are coming in quickly with the overall slow down of the market.  Typically 2-3 business days. Happy to help if you need assistance.

10.5 is actually a good rate; avg rate in hard money is likely 11 right now - they're trying to make up for the rate on front side origination.  

what does this rent for, market or in place rent, not str…….

It’s possible you could bridge it but bridge lenders are not favorable to cash out right now. 

Check out DSCR Loans - most require a 640-660 to qualify.

Yes and No - the lower the risk the lower the rate - 9.99% plays at 75% LTC for a Tier 1 borrower.

This thread has more truth in it than anything else I have seen on any social media in the last 2 weeks.

Rates are up, leverage is down, traditional banks are pulling out of speculative loans.  OPs old terms are music to any investors ears. But they are just that, old terms, that no longer exist - so talking about them, while entertaining, is pointless.

But that *does not* mean that you cannot get funded in todays market. Rates are up there, but LTVs still have a strong influence - I am closing one tomorrow at 7.25% par DSCR 5/1 ARM with a 3 yr prepay. LTV 60% with 718 FICO. Yes, this is YESTERDAY'S rate but this loan prices out at 7.5% today. This is a cashout so there is an LLPA in there as well. DSCR is strong at <1.2.

I geek out on data - and my data says that most hard money/RTL (residential transition loan) is closing at 80%-85% of purchase price with a coupon in the 11s. The thing about data is it is typically 2-4weeks old which means that as the fed continues to raise rates, coupons will increase accordingly. I think leverage will ultimately stay the same. The difference in cost is going to be determined by the number of cooks in the kitchen. How many times is your loan going to be traded to get to the end buyer. The fewer cooks, the less aggressive the rate and fees.  

To OP - I can certainly make some recs on your options for fix and flips.