All Forum Posts by: Shane Baganz

Oh, gosh. Please do not use Zillow for their estimates. In my own personal experiences they are way off. I purchased a property in Madison for $235,000 and zillow now says it declined in value to $170,000 Interestingly, I had an agent call me last week to see if I was willing to sell for a couple who needed a 1031 exchange. They felt $280,000's was in the fair market as few duplexes exist in the area and rents are sky high. I've heard this numerous times from real estate agents as well. Please don't pay attention to Zillow's numbers. Do your own comps or get help from a local agent.

Here's how it works..

Fico – Recourse options: 680 fico = max 75% LTV. 670 fico = max 70% LTV. 660 fico = 65% LTV.

Non-Recourse options – Min. credit score is 620 for US citizens. LTV for Non-recourse will be based on overall credit/loan profile. All loans to foreign nationals are considered non-recourse.

Credit – Full tri-merge credit report. No Bk’s or foreclosures in past 2 yrs.

Loan Terms – 30 Years Am. 5 & 10 year fixed rate options.

Loan Size – $300k to $50M

Max LTV – Up to 75% on stabilized, leased properties (for foreign nationals & US Citizens). See details about Fico above.

Min DSCR – 1.15% ** Interest only available at 70% LTV and below, 670 score needed

Interest Rate – 5-7% for Fixed Period

Property Types – SFR, duplex, triplex, 4-unit, townhouse, MF 5-20 units.

Min Property Values – $50k for 75% LTV, $40k- $49.9k limited to 50% LTV, Multi Family $30k per unit. If min property values are under this they cannot be included into the loan.

Pre-Payment Penalty – Term: 5-year-term, Yield Maintenance or Step Down: 5-4-3-2-1 (25bps rate add on).

Term – 10-year-term, Yield Maintenance or Step Down: 9-8-7-6-5-4-3-2-1 (25bps rate add on).

Seasoning – After 90 days of ownership this program will lend off full appraised value.

Occupancy – 10 or more doors = 90%. 5-9 doors = 80%. Multi-unit properties= 85%

Use of Funds – Purchase, Refinance, Cash-Out Refinance

Territory – Nationwide Except North Dakota, South Dakota, Alaska & Hawaii

Lender Processing Fee – 0

Contact Shane here

or call 262-292-1710 for immediate answers

Here are the specifics:

Fico – 680 +

Loan Terms – 12-18 months interest only

Loan Size – $150,000+

Max LTC – 90% of purchase price and 100% of rehab not to exceed 95% of total deal cost (purchase price plus rehab budget).

Interest Rate – 11-13%

Lender Points – 2-4 points

Property Types – 1-4 unit investment properties. Standard commercial properties also considered.

Pre-Payment Penalty – No PPP

Use of Funds – Ground up construction and rehab loans.

Cash Requirements – Borrower must have $20k minimum cash in the deal & needs to have cash reserves of 6.5% of the total deal cost in order for lender to close.

Lending Territory – Connecticut, Florida, Maryland, Massachusetts, New York, New Jersey, Pennsylvania, Virginia & D.C.

Closing Time Frame – 14 business days

Appraisal Cost – $450-$600 per property

Exit Strategy – Exit strategy for the borrower must be a sale for this loan product.

Special – Borrower must have completed 6 deals in the past 2 years (bought and sold) to qualify for this program.

Pre-Qualify Now

or call Shane at: 262-292-1710

Fico – 500+. Yes the lender goes down to 500!

Loan Terms – 12 months, interest only

Loan Size – $75K to $1 Million

Max LTC – Lender will finance up to 90% of the purchase price of the property and 100% of the construction (done in draws).

Interest Rate – 7-12%; Interest rate is determined by investor’s experience.

Property Types – Only 1-4 unit investment properties! This includes Single Family Homes, 2-units, 3-units, 4-units, condos and town homes.

Pre-Payment Penalty – None!

Use of Funds – Purchase, Refinance, Cash-Out Refinance & Rehab

Asset verification – Depends on borrower’s experience. 1-3 months of bank statements.

Points – Loan cannot have more than 4 points associated with it (that is a combined 4 points from the broker and lender!)

Lending Territory – CT, CO, FL, GA, IL, MD, MI, MO, OH, PA, SC, TN, TX, VA, WA & WV.

Closing Time Frame – 15 days. Lender typically just orders a desktop BPO which costs $299 and does not always do a full appraisal. This is how the deal is able to close so fast!

Special – NO JUNK FEES!

Pre-Qualify Now

or Call Shane at: – 262-292-1710

Contact Us

I'm not sure if this was discussed...But, did you sit down with the new tenants and explain your situation. I agree tremendously that the agent appears self serving and their behavior needs to be brought forward, but that doesn't help the situation. There are people out there who may understand and decide to back out to help. Or, for a small fee, (that the sellers agent should pay) put towards their rent on another location. I'd try working with the new tenants before giving up on your deal. Something to consider.

Here are the details...

Fico – 630 +

Loan Terms – Up to 30 years and fully fixed!

Loan Size – $45K – no max loan amount!

Max LTV – 75% domestic borrowers, 70% foreign nationals.

Debt Service Ratio – 1.3

Interest Rate – 6.50%-8.85%

Property Types – Only 1-4 unit investment properties. Property must be on less that 2 acres of land.

Pre-Payment Penalty – 5% for fixed period which is 5 years, then step down, 5%, 4%, 3%, 2%, 1%

Use of Funds – Purchase, Refinance, Cash-Out Refinance

Asset verification – 2 months seasoning on assets (bank statements) and 12 months seasoning on properties.

Lending Territory – Nationwide besides MT, NV, ID, AZ, HI, ND, SD, AR, NY, VT & ME. No population requirements!

Minimum Property Size – 700 square feet

Lender Fee – 2% of loan amount or $3,500 min.

Closing Time Frame – 30 business days

Appraisal Cost – $450-$600 per property

Special – All loans must close in a corporate entity. Can be used as a portfolio/blanket loan as long as all properties are in the same state. Secondary financing is not permitted.

Pre-Qualify Now

or call Shane at: 262-292-1710

https://onlinecommercialmortgage.com/wp-content/uploads/2013/10/Video-81.mp4

Is everything cleaned up?  If so, PM me and we may discuss further.

Large Non-Recourse Bridge/Construction Loans w/ High Leverage!

Fico – Credit worthy individuals. Lender is not fico driven but any fico challenges need to make sense.

Loan Terms – 1-3 years, interest only. Can sometimes go longer than 3 years.

Loan Size– $5-75 million. Sweet spot is 15-40 Million

Max LTV/LTC- Up to 75% LTV on a bridge loan. Sometimes the lender can go higher as well. Lender will fund 100% of the construction as well.

Interest Rate– Libor plus 5.0%-7.0%

Property Types– Most commercial properties

Pre-Payment Penalty – No PPP. Lender sometimes charges 1 point as an exit fee.

Use of Funds – Purchase & Refinance

Origination Fee – 1 point to lender

Territory– All 50 States besides Hawaii & Alaska. Favors the SW & NW in the United States. Also lends in major cities in Canada.

Closing Time– 2-3 weeks

Special – This lender focuses on value add bridge loans. These are NON RECOURSE loans! Lender likes when the property has multiple tenants.

Pre-Qualify Now

Contact Us

Call Shane at: 262-292-1710

Let me phrase that a different way.

1. Purchase the home with seller financing.  No money down,  Part of rent payment to go to father for payment with balloon at 10 years, 5 years, 15 years, etc.

2. Transfer mortgage to trust owned by buyer, under fathers name.  (a trust may be named anything)

*Bank sees trust with sellers name on it, thinking it's him who put it in his own trust. (when in fact was the child) Therefore, keeping bank calling note due very slim as bank "assumes" it is the sellers trust continuing to make payments.

Just a thought.  

If you purchase it, lay it into a land trust that you own. Name the trust after your dad. The trust is blind to all who see it. When you write the check, it's coming from thee trust named after your father. The banks would never question it. I'm not saying they won't find out and the do on sale clause won't be enacted, but the chances of that happening are incredibly slim. If you keep making the payments, they really won't question anything. Just an idea. I'd like to hear other readers of this post comments.