All Forum Posts by: Scott Schuhwerk

@Dennis Cobos, following what Luke said, most lenders should be able to offer this as 10% down is standard for a conventional second home purchase.  There are some new hits that were recently announced from Fannie Mae for the LLPAs (loan level price adjustments) that will increase the cost/rates for second home financing. I included a chart below so you can see what those LLPAs will look like , as you will see the closer you get to a 90% loan to value (10% down) the larger the hits to the rate are, therefore increasing the costs/rates.  

One way to still get 10% financing without these large hits is to break the financing up into a 1st and 2nd mortgage (HELOC) and still only have 10% down. For example a 75% 1st mortgage and 15% second mortgage (HELOC) keeps your rates/costs down while still accomplishing the same goal of 10% financing on a second home purchase.

Let me know if you have any questions I can answer for you on this 

@Dennis Cobos

@Dan H. these are great, I love SD but the prices are crazy!  How long have you owned these?  If you don't mind me asking what did you buy these or should I say what would these types of units go for today? 

@Mel Adams where in AR do you have your STR's? How is the market there for overall STR demand from guests?

Hi @Kelly Worley I sent you a PM, I am curious about prices in Branson and what the ROI looks like out there for STRs on average.

You will want to put down at least 20% if planning on treating this as an investment property.  10% down would be for the intentions of using the property as a second home. 

I still haven't allowed for pets at my STR, been nervous to as I keep picturing pets peeing all over the place, but I know it would be a nice way to bring in some extra rev!

Hi Ryan, I have a house in Truckee that I purchased in November and starting renting out as a STR in April of last year and the revenue blew away my expectations, I would be happy to chat with you to answer any questions you have.

What area is the subject property? As Melissa mentioned there are some restrictions right now on new STR permits in North Lake (Placer County 5k feet elevation and higher), in South Lake and as of last week Truckee as well.

Hi John, second home financing is pricing pretty aggressively right now, very similar to owner occupied financing.  I am a mortgage broker in the Sacramento Area with United Wholesale Lending , I would be happy to provide you some info on getting pre approved and some estimated rates. 

I will shoot you a PM. 

Thank you,

Scott Schuhwerk

Andrew, these numbers look solid however you will have hard time getting this property for 5% down unless you are planning to occupy one of the 4 units, do you have a bank that will do this?

Congrats Ben!