All Forum Posts by: Julee Felsman

Hi @Derrick Clark!

Residential lender here. It is possible to get a Fannie Mae loan on a property held in an LLC -- good old fashioned 30 year fixed rate at the same terms as any other investment duplex.

I'm clear to close and will be signing next week on refinances of a duplex and a four-plex that are vested in an LLC as of the moment. I'll have to move title to my name at closing, but will be able to put title back in the name of the LLC after closing.

I'm not licensed in NY (yet), so not offering a loan, just to be clear... but if you want a referral to a colleague who is and can handle this type of loan, I'd be happy to pass along a name... just DM me!

Julee

Hi @Adam Sankowski!

Rates depend on a variety of variables (mainly: credit scores, property type, loan-to-value ratio, cash back or not), so it's pretty hard to compare notes without that detail to be sure you're comparing apples to apples.

If you just want to refinance what you owe with no more than an incidental amount of cash back (2% of loan or $2k), there is no seasoning period. 

If you want to take more cash back there is a 6 month seasoning period.

There is an exception to the seasoning period, however. If you paid cash for a property, it is free of liens when you apply for the loan and you can document where the funds for the purchase came from, you can get a cash back refinance immediately after closing.

Happy to answer other questions... and if you want an idea of rates for your specific situation, PM me.

Cheers!

Julee

@Cullen Duplantis that's not a question I can answer without more information. 

@Cullen Duplantis!

There's no prohibition against using part-time income to qualify for a loan. As long as the income is sufficient to qualify and stable enough, you should be good to go. 

Assuming you are going to be living someplace besides the house you are buying: Under some relatively new loan guidelines, you'll have to show you have a primary housing expense (that you pay rent and how much), in order to be allowed to use any  rental income toward loan qualifying.  

Julee

Hi @Derrick Lu! 

Thanks for the nice words... and I look forward to getting started. :)

There are no cut-and-dried rules with regard to the distance for comps. It really depends on the area. In a dense urban area, appraisers will do their best to find comps that are in whatever is considered the same "neighborhood"... .5 mile is probably a reasonable radius so long as they're not moving into an area that is very different. 

Example: I live in a nice middle class neighborhood, but I'm a quarter mile from one of the most exclusive neighborhoods in my city. Appraisers will expand their radius and use comps within a mile of my house to the west (the neighborhood like mine) rather than pull comps from the swanky neighborhood that is just a few houses away from me on the east. 

But for a rural property comps can be 10s of miles apart. In areas where there's not  lot of activity or for unique properties where truly comparable sales are hard to come by, appraisers can color outside the lines and go into competing neighborhoods, expanded distance or even further back in time than would normally be acceptable. They just have to make sure it they justify their decisions to the underwriter understands and buys into what they're doing.

Again, looking forward to connecting!

Julee 

@Oksana Patrick! Fannie Mae loans require that you document income via pretty traditional means. There are no "no income" Fannie Mae loans. 

Hi @Cullen Duplantis!

Depends on your goals. A 15 year loan will have a lower rate but a higher payment, which will make your cash flow worse. Paying the loan down more aggressively with a lower rate will save you lots of interest in the long run -- perhaps at the expense of growing your net worth with leverage.

And a 30 year loan will be at a higher rate, lower payment, better cash flow and more leverage for wealth-building.

Cheers!

Julee 

Hi @Robert E Wilder!

It is possible to finance (and refinance) properties with Fannie Mae loans and then hold title as an LLC. I am a lender and help clients do this really regularly.

I'm refinancing two of my own rentals right now -- title is vested in an LLC today. I'll sign a deed removing the property from the LLC at closing and then put title back into the LLC after closing (with full consent and no risk of triggering a due on sale clause).

Julee

Hi @Christian Olivo!

Dreamers can get traditional mortgages. It's been my privilege to help many clients with DACA buy their homes (and rentals).

In fact, DACA recipients qualify for the same great rates that a US Citizen gets. 

Julee