All Forum Posts by: Sean Blomquist

@Joshua Harter Interesting. Those sound more like conventional lender terms, not hard money. As far as finding other investors you can just put it out there as a question about your area. Otherwise, look into your local REIA to see if they have any meetings, so you can network with other investors in your area.

@Joshua Harter it all depends on the HML. Most will lend 65-70% of ARV, but only a handful will require no money down if the deal is strong enough to warrant that. You just need to keep reaching out to lenders in your area, or ask other local investors who they use for HML.

@Andrew Dincola reach out to @Justin Cooper about financing those deals in the Denver market.

@Evan C. that is false. That lender may require it, but other lenders will do either your personal name or an entity (LLC or Inc). Some states may have regulations on it, so check with your particular lender. I know in MN they can only lend to an LLC if the loan is under 100k. Anything over 100k can be to either.

@Kevin Owen great question. I would reach out to a HML to apply and get preapproved before finding a deal. If you plan is to flip, you are good to go. If you plan to BRRRR, you will also want to talk to a conventional lender for the refinance piece as well. Good luck!

@Matthew Jordan it is not a cash offer. HML is still financing, but you can mark OTHER and write in HARD MONEY. As long as the selling agent understands what HM is, they know it works like can't be isn't considered a cash offer. If they don't understand what it is, let your lender educate them.

@Leonel Lerena if you are refinancing a HML and just doing a rate and term refinance with a lender that is direct to Fannie Mae, you don't have to wait 6 months. If you are using a lender that is not direct to Fannie and they have overlays, they may say 6 months. Refinancing a cash purchase or trying to do a cash out refinance to pull some of your equity out, you would have to wait 6 months either way.

Thank you @Daniel Anshus and @Alyssa Strom!  @Erich Kliewer shoot me an email and I'll get you some information and our application.  I would love to help you get this deal done!

@Luke McKenzie it depends on the refinance lender.  If they are direct to Fannie Mae, you only have to wait 6 months to do a cash out refinance.  If they are telling more than 6 months, that is that specific lenders overlay on top of Fannie guidelines.

@Myriam Joseph yes, you want to talk with the refinance lender prior to getting the hard money loan, to make sure you can get it refinanced.

The only reason to pull equity out would be if you wanted to put more of your own money into the next deal. If you only want to use the HML to do it, then the only money out of your pocket is the holding costs of the HML while you are rehabbing it.