All Forum Posts by: Sean MacDonald

I'm looking for a private lender who I can scale with. Ideally we would meet in person (Midwest region).

Hey Ryan, it's listed currently with KW. 1526 W Bonneville. It's had at least 15 people come through but no offers in 3 weeks.

My new thought is a bit of a hybrid strategy. I am considering refinancing with a DSCR and then selling on terms. I will be able to get all of my investment back plus some, and then have monthly cashflow based on the interest and purchase price spread.

What's your rate today now for Phoenix area with single family rental under LLC? Thanks.

Sean are you a direct lender or a broker?

This is a doable deal, just need to work with a broker who knows where to place the loan :)

I may know a guy ;)

Hey BP Fam!

I need your advice! I have a lot of equity in a rental property in FL ($500k+) but I am trying to find creative ways to purchase a duplex in NY. I haven’t had luck getting a HELOC because my FL property is a rental and a conventional loan requires a big down payment plus reserves and closing costs. I don’t have much equity in my current primary yet since I just bought it last year. The duplex I want is only listed at $200k. I applied for a HELOC through Figure since I heard they will lend on investment properties. Does anyone have experience with this company or know if this is legit? FIGURE approved me for up to $186k with a 4.99% origination fee and an 8.5%-8.99% 30 year fixed HELOC. Thinking about making a cash offer on the property and buying it outright. Then refinancing later for a lower IR. The rents are stated as $2000 & $1175 for each unit respectively. The monthly loan payment would be $1559 and it doesn’t appear to need any renovations immediately so low on CAPEX up front. Does this sound like a smart move? This is my first time doing anything like this. I own two homes I purchased with 30-yr fixed VA loans. I appreciate any advice!

Respectfully,

Anthony

Hi Zachary!

You can utilize a hard money bridge loan to kickstart a BRRR strategy with a short-term rental. HML's can finance up to 90% of the purchase price and 100% of the rehab costs, allowing you to complete the renovation with minimal capital out of pocket. Once the rehab is complete and the property is stabilized, you can refinance into a DSCR loan that allows short-term rentals (Airbnb/VRBO, etc.), depending on the location and zoning.

Keep in mind, most lenders will require a seasoning period—typically around 3 months—before you can do a full cash-out refinance, so that’s something to plan for as you run your numbers.

Do you have any experience with STRs? And where is the property located? I’d be happy to see how I could assist.

 They've been like this for the past 5 months. I don't think we will see a refi boom until we dip into the 5s. 

You will likely see more investors with maturing debt, needing a temporary fix or permanent financing. I am seeing a lot of cash outs as well. 

Is 6.5% really low or low by comparison....?