All Forum Posts by: Josh Crowell

If you are looking for a long-term fixed rate loan I would turn to the life co's or agencies. That size would limit the number of life companies that would lend but there would be interest from a handful if the property is stable and in good condition.

Freddie Mac also has a small balance program $1-$7.5M that would also be a good resource. 

Josh

A HELOC on your primary residence is a solution that is not a cash out refinance. Many lenders can put this in place at little or no cost with an appraisal. Like Greg mentioned, cross-collateralization is the other option and would typically be done through a commercial lender.

Tongue in cheek, selling is also a way to use the equity in a home without a cash out refi ;)

@Jason Johnson Look forward to having you back in the area. I am sure Durham looks like a completely different place from your time here in '99-'01. I have only been here since 2018 but many of my friends and clients have seen the last 15-20 years of evolution for the city. 

Regarding your question, I am not sure. Unfortunately I do not have any experience with self-directed IRA lending. I am outside of my knowledge, but I would assume the retirement funds are in your personal name and the loan would be in your name as well?

Happy to connect and hear more. I might could make a connection the area depending on the need.

@Sean Ade I am in Durham, which like the rest of the Triangle has become much more expensive over event the last 12-18 months, part of a larger/longer trend.

I agree with some of the rest of the comments that with $150K you would be looking outside of central Durham, Chapel Hill, or Raleigh. If you are ok, which it seems you are, to be 1-1.5 hours outside of the Triangle take a look at anywhere in the Triad (Burlington, Greensboro, High Point, Winston) or east to Clayton, Fuquay, Sanford, Fayetteville. All of these are seeing a lot of investment right now.

My line of work is with agency & life co finance. For 5+ units, the agencies (Fannie Mae, Freddie Mac) will do 80% in 'standard' markets (Raleigh & Greensboro/High Point are standard) and 75% in what they consider 'small' or 'very small' markets (Anything east of Raleigh and somehow Durham/Chapel Hill). Some bridge to Freddie SBL products will do 85% of acquisition assuming some value add increases before refinance by Freddie at 75-80%. These are for loans of $1M-$7.5M with long-term fixed rates.

So, $150K will get you $750K to $1M purchase at 15-20% down, sounds like you have a bit more capital available than that. Outside of some class C stuff, most MF is up to $200K+ per unit in the Triangle.

Also, if you are ok moving to a small enough market, USDA will guaranty up to 90% of a loan in rural markets with 5+ units with renovation plans to the property. Up to a 40 year term, which is crazy.

They have a good tool for eligible areas here: 

https://eligibility.sc.egov.us...

Hope this helpful information. Feel free to message me if you want to chat.

Josh

Hi All -

Looking for any experience renting/managing an AirBnb in an Eastern or Western NC small town market. I am thinking about a house in a town like Washington, Edenton, New Bern, or the mountains.

Currently, I have several SFR rentals that are all long-term. What is your experience with ST rentals and these particular markets?

Josh

Hi All -

Looking for any experience renting/managing an AirBnb in an Eastern NC small town market. I am not thinking a beach/coastal house, but in a town like Washington, Edenton, New Bern, etc. These look like nice tourist towns and I would like to explore an short-term rental.

Currently, I have several SFR rentals that are all long-term. What is your experience with ST rentals and these particular markets?

Josh

@Tim Garrett Would be happy to connect. Trying to get more involved on BP. DM me if you would like to get introduced. I have done some investing and work in the multifamily/commercial industry (finance).