The costs are heavily run up by the borrower’s ability to take advantage of (1) judicial states foreclosure laws (2) bankruptcy laws (3) we as lenders having to pay taxes/insurance during borrower’s default (4) legal fees we pay to contest BK filings or other delay tactics (5) deterioration in property since loan origination.  

The best originators will be able to walk you through to get to closing, without many surprises.. 3.

Many CA licensed real estate brokers originate these and will do all the vetting and loan servicing for you.

Fees-  would have been part of the original prospectus.  

Your original 1031 did not defer all your taxes.

The “BRRRR” only works here if:The ARV really does come in at or close to $900kThe lender gives you very favorable termsYou’re okay with thin or even negative cash flow for a whileRight now, the debt load is just too big for the income.If this were mine, I’d do one of three things:Renegotiate the purchase price to build in more roomRefi at a lower LTV, even if it means getting less money backSkip the full BRRRR and just hold it with the lower original paymentThat would make the deal safer and a lot more predictable.

When I see people buying newly originated paper at 90% LTV or greater for a 10-12% return I shake my head.

$1500 origination fee, and $350 attorney fee.

@Andrew SteffensNo lender is going to take a mortgage on an overseas property because they don’t have the infrastructure (nor the willingness) to try to repossess the property in case of default and even the largest international banks won’t do it.You might hear that somebody in the US got a loan in the US to buy a property overseas but that could be because they gave a US property as collateral or any other collateral or it’s a company that has a strong balance sheet and took an unsecured loan but that would likely defeat the propose of the original poster.If you know of any lender who takes an overseas mortgage as sole security for the loan, let me know as I’d be very interested but  I’ve worked in the banking industry across the work for many years so I know that, if ever there was any, it’d be more the exception rather than the rule. 

But let’s not turn this into a compliance rabbit hole when the original topic was about how investors think.