All Forum Posts by: Katie Smith

Hi Luca!

Sounds like you're being really smart about weighing your options. Since you have good credit and some equity in the property, a cash-out refinance could definitely be worth exploring — especially through a DSCR (Debt Service Coverage Ratio) loan. DSCR loans are designed specifically for investment properties and focus more on the property's rental income potential rather than your personal income, which can make qualifying much easier.

One thing to keep in mind: for a DSCR loan or traditional cash-out refinance, the property will need to pass a 4-point inspection (roof, electrical, plumbing, and HVAC systems). If any of the renovations you're planning involve these areas, it's important to address them before closing to avoid any delays.

Out of curiosity, what specific renovations are needed? If it’s mostly cosmetic (paint, flooring, kitchen updates), you’re fine. But if it’s more major (roof, HVAC, electrical, plumbing), those would definitely need attention first.

Also, while a cash-out refinance could cover your $20K renovation, you could also pull additional cash out to reinvest into future properties and grow your portfolio faster. A lot of investors use this strategy to scale without always needing fresh capital.

That said, just a heads-up — most DSCR lenders require a minimum loan amount of $75K, and some have minimums of $100K. So you'll want to make sure the loan size makes sense based on your current property value and the amount of equity you can access.

While a personal loan could work for $20K, rates are usually higher and terms shorter than real estate-backed financing. HELOCs on investment properties are trickier to find and might carry variable rates. Hard money lenders would finance it, but for a smaller project like this, they might not offer the best terms.

Happy to help if you have more questions. Lets connect! 

Hi Eshe!

I work with quite a few wholesalers, and I completely understand that having to adjust your assignment fee isn't ideal. However, if it’s the difference between winning or losing the deal, a small adjustment is almost always better than losing it altogether! Flexibility can often be the key to closing more deals in this market.

Out of curiosity — do you have a preferred hard money lender that you recommend to your buyers? It's crucial that buyers work with investor-friendly lenders who not only offer competitive terms but also have the ability to close on time without any last-minute surprises or bait-and-switch tactics.

I'd love to connect and see how I can support you and your clients!

Hi Alonzo! Have you tried searching on your local REIA's website? Or attending any local meet ups?

Hi Brett,

This is really awesome of you to offer! It’s so important — unfortunately, a lot of investors end up in bad deals simply because they didn’t do enough due diligence up front.

Quick question: Are you using a specific mortgage calculator, or have you created your own spreadsheet or system for running the numbers? Also, are you mainly offering to help with analyzing deals, or are you open to partnering on projects as well?

I’m curious, too — are most of the investors you’re working with using their own cash, or are they leveraging financing? It might be a good idea to factor in potential financing costs when running numbers — things like interest rates, points, closing costs, and holding costs. That way, the analysis gives a more complete and realistic picture.

I’d love to connect and see how we might be able to collaborate or support each other’s businesses. Looking forward to hearing more about what you’re building!

Hi Sophia! I was curious — is there a specific reason you're looking for someone with more experience? There are plenty of lenders who are willing to work with first-time flippers! Some lenders can be particular about things like rural location, the scope of the rehab, the age of the home, your credit score, or your cash reserves, especially when it’s your first project. But there are definitely options out there, and lenders who are happy to help new investors get started!

Hi Kwanza! You can look into doing a bridge loan on a property you already own and pull cash out for a 12- or 24-month interest-only term. These types of loans are great for accessing equity quickly without needing to sell or refinance into a long-term product right away.

Lenders typically base the loan amount on the as-is value of the property, and depending on your credit and experience, you can often get up to 65-80% LTV. This can be a great option if you're planning to use the funds for another investment, complete a rehab, or simply need short-term liquidity while you position the property for long-term financing or sale.

Over the past month or so, I’ve noticed a shift: several fix and flip lenders either pulling out of the Florida market or drastically tightening their terms. Lower leverage, higher rates, tougher underwriting — it’s making some of the deals that worked just fine a few months ago a lot harder to pencil today.

Despite that, I’m still seeing solid opportunities out there — especially when the numbers are right and the scope is realistic. I’ve been working through a few of these changes with investors recently, helping rework deals after lenders backed out or changed terms last minute.

Wondering what others are seeing out there — are you sticking with your usual lenders or looking elsewhere? Adjusting offer prices? Pushing timelines?

Let’s talk shop — always good to hear how others are navigating the shifting landscape.

Over the past few weeks, I’ve had a noticeable uptick in conversations with investors who’ve had their lenders suddenly pull out of Florida — sometimes right in the middle of a deal. Some are seeing stricter guidelines, others are getting no quotes at all. It’s definitely creating some friction, especially for folks trying to move quickly in a competitive market.

That said, I’m still seeing deals getting done. There’s capital out there - but it’s taking a bit more strategy, stronger structuring, and knowing which lenders are still active and comfortable in Florida.

Are you running into similar issues with lenders backing out or changing terms last minute? Have you found any new strategies or workarounds that are keeping your deals alive?

Would love to hear how others are adjusting — and if you’re stuck on something or just want to talk through options, feel free to reach out. Always happy to connect with other folks working in the Florida space.

Totally understand your frustration, and it’s great to hear you’ve been so consistent with your payments and maintaining a strong equity position.

From a lender's standpoint, even when a borrower meets general eligibility criteria (like a strong payment history and low LTV), the ability to remove an escrow account isn't always at the lender's discretion alone. In many cases, it depends on who owns the loan—such as Fannie Mae, Freddie Mac, or a private investor. Each has its own servicing guidelines that the lender or servicer must follow, and sometimes those guidelines restrict escrow waivers regardless of borrower performance.

Since you're in Texas, it's also worth noting that certain state-specific regulations or risk factors related to property taxes and insurance premiums can come into play, and some investors see escrow as a way to protect the asset and ensure those payments are made on time.

Hey Ron! Curious to hear more about what you’re looking to do. Real estate investing can go a bunch of different ways, so having the right people around you makes a huge difference.

Definitely start by finding an investor-friendly lender, agent, and title company—people who actually understand investment deals and aren’t just used to traditional homebuyers. It’ll save you a ton of time and hassle, and they’ll know how to help you structure things the right way.

The more your team understands your goals, the smoother things will go. Let me know what kind of deals you’re after or what market you’re in—I might be able to point you in the right direction!