All Forum Posts by: Lyndsay Zwirlein
Lyndsay Zwirlein has started 4 posts and replied 317 times.
Post: Best markets surrounding Lake Michigan
- Lender
- Posts 331
- Votes 209
Following! We're from Milwaukee originally and would love to buy a lake home, as well. Have you ever looked into Door County, WI? Some areas have restrictions but I think there are some municipalities that allow it.
Post: Qualifying for a second mortgage with a STR
- Lender
- Posts 331
- Votes 209
Quote from @Derek Buehner:
What should I expect when applying for a second conventional loan to purchase a primary residence, considering that I have an existing short-term rental property with a year of history and an average monthly profit of $400 after expenses, including the mortgage? How do lenders evaluate the stability and income from an existing short-term rental property when determining debt-to-income ratio? Thanks in advance!
Lenders can use the income on your tax return to help offset the str mortgage (only 1 year is needed). I would recommend having a lender calculate your dti so you know exactly what you qualify for! It’ll really depend on how you file your taxes and how much you claim in expenses.
Post: DSCR loan With no prepayment penalty
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- Posts 331
- Votes 209
Quote from @Zach Proto:
Hi looking to get DSCR loan for a few of my STR properties. They are condotels. Any recommendations? Any places that do not have prepayment penalties or have lower LTV requirements? Thank you
A lot of DSCR lenders have programs for condotels. From my experience most condos are at 80% LTV but a condotel is typically 75% LTV (on purchases). Like others have mentioned, you can always buy the PPP down but it will typically be via a higher rate.
Post: Financing options for short term rentals
- Lender
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- Votes 209
Quote from @Parthenia Holly:
Hello, I currently have a three vacation rentals. Two have mortgages and one does not. I have a mortgage on my primary residence. We do not use any of the rentals for personal use. I am looking at purchasing another that I will use personally as well. For financing does anyone know if it would be better for me to get a personal mortgage for a second home, or get a business loan for this property? A cash out on the third rental is not an option because it most likely would not provide enough money. I have 35% down. Thank you for any advice.
I typically recommend looking at 10% down vacation home first if you intend to use it a couple weeks of the year. If you don’t, there’s a conventional investment home loan with max 85% LTV that’s another great option.
Post: Still a good time to sell? Pigeon Forge TN
- Lender
- Posts 331
- Votes 209
On the lending side, we’re still doing a lot of deals in your market. There is strong demand and multiple offers on good deals like Matt said. Plus March/April starts to get busier typically with home sales so it could be a good time to look into this.
Post: I got pre-approved for a loan today!
- Lender
- Posts 331
- Votes 209
@Account Closed congratulations!!! It’s a huge first step. As others mentioned, condos are different than single family homes so make sure you’re clear on that. Also in terms of the quality of the prequal, most good lenders will do a manual calculation on your dti (debt to income) to make sure there won’t be surprises during underwriting. You can ask them to walk you through the assumptions you used. It’s good for learning too!! You’ll be amazing - good luck!
Post: DSCR Loan Minimum Loan Amount
- Lender
- Posts 331
- Votes 209
Quote from @La'Terrius Campbell:
What's the minimum loan amount you can get for a DSCR Loan?
$75k is lowest I’m aware of. Most are minimum $100k.
Post: What’s more important - deals or cash?
- Lender
- Posts 331
- Votes 209
Quote from @Samuel McCart:
Hello all,
I’ve been doing some research into creative financing and I have a couple questions.
My story is my wife and I are saving up for our first house but I’m also wanting to get my first rental property so I can start generating cash flow to fund more rentals and build a solid portfolio.
For my first rental, I’m open to bringing on an investor (and probably need to for my first one) but I’m not sure what’s going to be the best course of action. Is it better to bring some cash to a deal or is a great deal the most important item when approaching investors for funding? Essentially I don’t want to waste an investors time.
The other question is do I just buy the primary residence with my wife and then use the equity from that to fund my first rental? Obviously this would take more time and this option isn’t ideal as l for me time wise.
Listen to David Greene's "Seeing Greene" latest podcast #723. Talks about his strategy as market is changing and his ideas might help answer your question.
Post: Frozen and discouraged
- Lender
- Posts 331
- Votes 209
Quote from @Ashley Sanchez:
Thank you all so much for your advice!
I honestly cannot thank you enough. Would anybody be able to clarify something for me? If we take the Heloc out and then find some more money to rehab a property…. We can then refinance the property and pay off the HELOC, correct?
Yes!
Post: How do you control or treat odors between STR guests for quick turnovers?
- Lender
- Posts 331
- Votes 209
We are dealing with this right now! In walk through of buying our newest STR, it didn't smell like smoke. But now that we're here it is obvious the previous owners smoked, so we are working hard to remove it before guests start coming. ozone machine and an HVAC diffuser that is installed in your HVAC have worked great and can be used in between guests as well.