All Forum Posts by: Sean Julian

I am refinancing now in my LLC. It is a bit challenging. The more challenging part is the value of the property. I'm paying a bit higher interest rate because the property value is quite low. Ion Capital is who I'm using.

My property is in an LLC and only worth $80-85000. No lenders wanted to lend that little money and to an LLC. Perfect storm of lender turn offs.

I’m going to be paying about 4% higher by using a commercial loan. This is one example but makes the point. 

There are plenty of good deals. Wholesalers are a good place to start but an investor friendly realtor is invaluable. 

I tried that method but lenders change their requirements throughout the year. Don't bet the whole project on one lender. Run the BRRRR and after you have a tenant go back to the refinance portion and double check your lenders.

I’ve wondered the same. I read “creative” financing. Someone has said portfolio lenders. I think that’s the first place to start. 

I'm kind of in that boat right now, but my rent came in much higher than expected. So, the low ARV can only hurt my refinance (if the appraiser really shoots low) not the rent.

You mean my tenants will pay $78000. Lol. Thanks for helping put it in perspective. 

I have just finished my 6 month seasoning period on my first rental. I have found only one place that will offer me a cash out refinance for a property in an LLC (arguments over whether I should have put the property in the LLC before or after the refinance are fun and all, but it's already done.) I'm being offered just over 100% ROI ($60000 into the property and $63,000 loan). But the apr is 6.35%. Seems quite high for a 30 year, commercial loan and was just wondering if I'm being ripped off and should keep looking or take the great ROI and run to my next purchase.

The two issues I'm facing are small loan amount and LLC. Neither will be changed in the short term. I'm cash flowing $500 / month after expenses so not refinancing isn't the end of the world. I'd just like to get into property 2 and beyond.

Thanks all!

After starting the process in July with the purchase and finishing the rehab in September, I received my notice of first rent received yesterday! Very exciting times. Now to wait until January and get that refinance done. Still need to work out the LLC issue for the trust, but excited to be getting some positive cash flow now! And it rented out for $85/month more than expected!