All Forum Posts by: Logan Drew

 Hi Chadarius:

Welcome to BP. You can buy a 2-4 unit property using an FHA loan with only 3.5% down. You can even purchase one that needs repairs using the FHA 203k rehab loan, again, with only 3.5% down. This loan allows you to borrow a construction budget and even will allow you to borrow 6 mos of the loan's payments if the dwelling is not livable at the time of purchase. Please PM me if you have questions.

Hi Gaston:

Welcome to BP!  What type of properties is your firm looking for?  In what states, locales?

You can refinance 70%-80% of your cash back out if you fund the new loan within 6 mos of closing the purchase.  This is called 'delayed financing'.  If you pass the 6 mo mark, you'll need to wait 12 mos.  The guidelines are a bit ridiculous, but if you can thread the needle, you should get what you want.

Call or email me with questions or to receive the flyer for this newly completed gem.

 Welcome to BP Sunil!  Has any particular market in Southern California piqued your interest more than the others?  Are there any markets out-of-state that seem exciting to you?

Thanks Simmy:

Please email or PM me and I'll send you all of the details.  Thanks again for your interest.

I need a broker-friendly lender who will lend on land in Oregon. 126 acres. Has a small, very old SFR on the land and a few mobile homes. Has utilities and septic. Client looking for $150k cash-out against the 126 acres that are free and clear and valued at $400k.

$150k

37.5% LTV

12-18 mos term

Please PM me if you can help.

 Hi Raju:

If you have a sufficient down payment (the target should be at least 30% down, preferably 40%), you should have no problem finding portfolio lenders (or private/ hard money) that will lend to you for the Rochester purchase. You may even be able to get away with as little as 15% down if you have legitimate income that can be shown by bank deposits over 12-24 mos (deposits at a well known international bank would help).  These types of lenders are literally everywhere. Shopping around is the best idea.  Seek a reputable mortgage broker in Rochester and possibly shop a few national portfolio lenders as well.

I just funded a loan to a foreign national with no domestic credit or income at 65% LTV here in Southern California a few months ago.

In short, private financing/ hard money works for foreign nationals the same way it works for US Citizens here in the US. If you have the equity to put into your investment and the investment is a good deal, you will find many lenders that want to work with you. That said, don't sell yourself short.  Give the portfolio/ non-prime lenders a try first and then go from there.

Good luck to you! You will do just fine.

You should always shop around, even if you loved your current agent and their lender.  I hate to say this as a lender, but shopping around is your right as the consumer and you'll always get the best deal by shopping at least a few lenders.

You can usually use that new rent as income if you have a history as a landlord (rents collected show on tax returns) and have a lease on the new property with proven record of deposit, first month's rent via cancelled check, and bank statements (two months of the account will be requested... naturally rent/ deposit must match the terms of the lease). That said, you probably won't qualify if the rent is the only income you have and you won't be able to use the rents if you have no history as a landlord. DTI guidelines are very tough and don't qualify properties on whether the rent carries the payment. You'd have to be at approximately 43% debt-to-income including all of your other monthly obligations (auto, credit cards, loans, your own housing...). Worse yet, most times new(er) landlords are hit with a 15% to 25% rent loss calculation, so you're actually not even getting credit for the entire amount you collect as rent for your income.

There are private lenders that will lend on your rental assuming the LTV is low enough. You should reach out to some portfolio-type lenders as a start. Even local banks are delving into 'bank statement', 'equity driven', or 'asset-based' decisions on these scenarios.

In the end, you should seek financing now if you need to go the private route.  They won't be hung up on whether the place is rented out right now.  Don't wait... you'll end up in the same place as you are now.