Preparing for my first cash out refinance. Not fun...

[Howard Montaque]

So I have been driving myself nuts working on the duplex I "house hacked" before I knew it had a name. New kitchen, dealing with tenants schedule, changing the new stove from gas to propane, ect. I owe $150k. The most recent comp nearby was $235k and there is a triplex for sale for $330k so its kind of all over the place.

So when I ask banks about the cash out refi I get the question, Is this an investment home. Yes? Ohhhh Ok. Followed by a low 70% LTV. Now I keep hearing 80% LTV, even 90% LTV in podcasts! but that has not been my result. Should I be looking for something or saying something else.

[Kerry Baird]

You say you "house hacked" and also that it is an "investment property."  Which is it?  Do you owner occupy this property? If so, you will find better interest rates. 

It is also possible to get a regular vanilla mortgage on a duplex, without hard money rates.

I'm local to you.  What lenders have you connected? When I was looking to do a recent refinance, I created a file with every single lender in the county, and a few that were in Tampa.  My numbers are now stale as it has been a few months, but my point is to pick up the phone and start calling.

I have pasted my list of lenders below. Verify any numbers yourself, as I have been building this file for years. Also, any quotes are gleaned from BP members, not my opinion. Noo means "non owner occupied" OO means "owner occupied" LTV is "loan to value"

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Aaron Chapman,http://snmc.com/aaronchapman/ works with Jason Hartman and specializes in investor products.

AimLoan.com, a direct lender. Low rate on investor duplex, compared to other quotes

All Florida Home Loans www.allfloridahomeloans.com Direct mortgage lender offering loan to all credit borrowers. Can be a seasoned investor, cash out equity. Drama free closings is our motto. No tax return loans, 90% condo, bank statement programs. Investor financing 5+ multifamily. Commercial, private money with our commercial division, critoncapital.com. Private money.

Athas Capital = direct lender based in CA http://athascapital.com/loan-products/ Non Prime 00, non prime business purpose, non prime bridge, fix and flip

Amerihome Direct lender. Up to 80% LTV

American Mortgage www.americanmortgagefl.com Locally owned mortgage broker. Steve Mugar, Indialantic. Fixed rate, Adjustable, conventional, FHA 203K, VA, USDA, jumbo,

Atlantic Mortgage Dan Overstreet, Melbourne FL

Barnett Capital- National Hard Money Lender

BB&T  Melbourne

B2R see Finance of America, below.

Bighaus: Long term loans, process is 100% online. He can do up to the standard 10 loans doing 20% & 25% down, estimated rate of 4.875% for 30yr loans. He also provides a commercial product, 30yr loan with a 5yr loan renewal, has a higher interest rate.http://snmcloanteam.com/stevebighaus/ Terms - 35% down, 5% loan origination fee, 8.99% rate, 5yr balloon on 30yr AM. Loan renews every 5yrs. Considering its difficult to find a lender who will even offer a non recourse loan and the loan is based on the property and not the individual borrower, I think its a fair rate. "I have used him for many of my clients, he can get the loans done."
B2R is NOW FOAC. See below. Based upon each investor and property. Min loan $1M at 6.75%, 3 points. Dwell 7.5% interest + points. Will lend to LLC. Small loan of $130000 at 5.5% 30 year, 70% LTV 2 pos and $890 origination on a cash-out OVER the 5th mortgage.
Bob Green- see RPLG Rental Property Lending Group

Bridgewell- bad ratings. From a BP review: 4 pts acquisition, repair credit line extra billing."If you're looking for private/hard money in Florida, go to Dwell Financial, Civic, RCN Capital, ANYBODY but Bridgewell!"

C2 Financial Corporation, https://equitybuildershomefinancing.com/loan-programs/investment-property-purchase-or-refinance-loans-in-california/ Investment property purchase or refinance. Broker with access to 15% down payment on rentals…with mortgage insurance. Also portfolio loans.

Caliber Loans 20% down, fixed and ARMs, FICO 620+ 6% seller contributions OK, no prepay, unlimited properties with purchase of primary. Purchase, rate/term, and cash out OK .
https://bestcompany.com/mortgages/company/caliber-home-loans/ Ranked #24, A rating. Must contact a representative to get rates. Min 620 credit score. Portfolio lender, keeps loans in house. Delayed financing for cash buyers. 30% down payments for loans up to $2M.

Capital Three Sixty- National Lender, Residential, Commercial & Hard Money Lender (Ask for Jon Finman)

Civic Financial = direct lender www.civicfs.com 1 year 8.5%-10.5% fix and flip2 year 8.5% to 10.5% extended rehab or qual for conforming loan, IO4 year 8.5-10.5% if you cannot obtain traditional mortgage financing. Jun 2017

Chase: good with smaller multifamily. 

Commericial Capital Limited- National Mortgage Broker, Purchase, Refinance, CashOut (Foreign National Loans)

Community Credit Union of Florida. Priscilla says they do a full appraisal and will refinance, rather than Desktop Underwriting.

Community Investment Corp (CIC)- Illinois Based Multifamily Rehab Lender

Conventus John Thedford recommended. He put several properties under one note. Rate and term, cash out refi. They provide cash out refi loans for owner occupied residences if and only if the entire loan amount is to be used for business purposes. Minimum FICO 620 https://www.cvlending.com/

Corevest. Allison Paz. Rental Aggregation Line up to 80% of cost, 18 month terms. Rental Portfolio Loan 75% LTV 5 or 10 yr term. Purchase or refi. Fix and Flip credit line: seasoned investors who want quick capital for multiple projects. Up to 80% of cost. 24 month terms. Revolving optional. Vik P on BP said, "The term sheet I have from CoreVest is 9.95% IO with 2 points per advance (per deal). "

http://www.crefcoa.com/fannie-mae-products.html Multifamily Loan, Fannie Mae Delegated Underwriting and Servicing for 5+ units.

www.critoncapital.com, associated with All Florida, above. Maitland, Florida

Sign and drive loan 75% LTV, 12 months term, prepay 4-6 mos, interest only. Low doc. 8.5% - 10.99%Quick Bridge, 75% LTV residential investor and 5+ units. 48 months. Prepay depends on term. 8.25-11.25%

Term Loans, up to 80% LTV for residential, 5+ units, office warehouse. 30 year term, 6.5% to 9.49%. Score driven.

Construction loans.
Dayton Capital http://daytoncapitalpartners.com/ Hard Money Property Loans1-4 residential units (incl condos, townhomes & PUDs)Loan-to-Value: Up to 90% of purchase priceWith Rehab: Up to 75% of After Repair Value (ARV)Transaction Type: Purchase or refinance Rehab Holdback: Up to 100% of purchase price (depends on scope of construction)Interest Rates: As low as 7% (varies based on LTV & experience)Origination Points: Not to exceed 4 pointsLoan Term: 6 or 12 months Rate Type: Fixed Rate, Interest Only Loan Amount: Up to $1,000,000 ($50,000 minimum) Prepayment Penalty: NoneJ unk Fees: None, legitimate 3rd party fees charged at cost with no mark-ups Closing Process: 10 business days from completed app. Quicker for repeat borrowers
www.dfwinvestorlending.com

Tony Dely. Aaron suggested by phone conversation that we use this Florida broker

Dwell. Redirected me to FOAC which will bundle 7 and more

Dyer Mortgage Group, small local lender "Customized loans for self-employed borrowers or special/unique situations"

Fidelity Bank of Florida, Investment mortgages, very small local lender Joy Winslow VP residential lending https://www.fidelitybankofflorida.com/AdditionalProducts/Mortgages.aspx.

Five Stars Mortgage- https://www.fivestarsmortgage.com/ 20% down national

Florida Best Rate- C2 Financial Corp. Melvin List from BP. No overlays. BK ok,

FLbestrate.com

 Flip Funding http://www.FlipFunding.net

• 100% Rehab Funding
• Up to 90% of the Purchase price
• Close in 7 days
• No Pre payment Penalty
• No Junk Fee
• $50,000 Minimum
• Rates start at 7%

EquityMax http://www.equitymax.com Transactional funding, purchases, refinancing, cash out refinance, rehab, vacant. 75% - 90% of their purchase price.

Everbank. Acquired by TIAA.
 

Equity Trust. Renee did a closing for a woman who did a SDIRA from other people’s IRAs, for people who want to invest in real estate.

FOAC Finance of America. www.foacommercial.com/portfolio-loan/ 30-45 days. Previously B2R. 90 days seasoning. $2M limit to individual investors. Multifamily loans 5 to 20 units available with portfolio product. Portfolio product 5.5% to 7.5%, with 5 to 10 year term. Option to amortize up to 30 years with interest only option available. LLC borrower. under 980 days 80% LTC and over 90 days, full appraised value. Fully amortized loan, DSCR of 1.15x while interest only loan DSCR 1.2. Nghi Le from BP said, "I was drawn in by FOA's rates and terms. I mean 8% and 1pt? That's amazing. I was originally turned off by their upfront fees (see my earlier post), but I got past that a little and wanted to give them a shot for a deal. Then they told me that they typically close in 30-45, and I said, "Goodbye." That's essentially a conventional loan, but conventional products for rehabbing (i.e. 203k and HomeStyle Renovation) are cheaper. So the market they operate in just doesn't make sense; they can't beat the banks, and they can't beat the hard money lenders." extremely poor communication, incredibly slow, and much like working with a typical bank -- but worse. They keep asking for docs I have supplied multiple times, have missed 2 closing deadlines, ask for info they told me they didn't need for commercial loans, and I really regret getting involved with them now. Stay away. Unless you have 6 weeks to devote to closing a loan and room for a few heartattacks along the way. Stay away. Unless you have 6 weeks to devote to closing a loan and room for a few heartattacks along the way. FOAC Finance of America Commercial 7+ houses into aggregate. Described as a nightmare.

30 yr investor mortgage, FOAC 6.5% - 9% 80% LTV for purchase and 75% LTV for refinance. <90 day 80% LTV, >90 days LTV https://www.foacommercial.com USED to be B2R. Michaela G on BP says appraisals came in low. AngelOak was a disaster for her.

FFIN First Financial Bankshares. BP recommendation for Texas HELOC and investment property loans.

Gunter Freystaetter, lends in S. Florida. Family Office. One year short terms loans, Minimum 6 months, starting @ 9.95% Direct - closing within 2 days after clear title

Guild Mortgage. Loans for properties 5-10. "They go as far as looking at who's name is on the note so I have 10 and my wife has 10 for a total of 20."

HHS Capital Illinois based Hard Money Lender

Investmark Mortgage HML

Iron Bridge Lending Iron Bridge Lending - National Hard Money Lender (Foreign Nationals Allowed)

Launch Federal Credit Union low closing cost, flexible terms, no prepayment penalty, never sell your mortgage. www.launchfcu.com/loans/home-loans/ max 97% LTV on primary. Purchase or refinance. Min loan 100k maximum loan 453k, when exceeding 80% LTV there is PMI. 4.5% 30 year rate as of July 2018.

Lending Home LendingHome.com Types of Properties: Residential properties, Investment properties. Loan Amount: $50,000 - $2,000,000. Leverage: Up to 90% of Purchase Price and 125% of Rehab Costs (via holdback). Interest Rates: As Low as 7.25%* Bridge. 550 FICO

LendingOne PZ recommends. Direct Lender. Fix and Flip Loans up to 90% LTC, from 7.49%. Rental Loans as low as 5.39% up to 80% LTV. 10 day close on fix and flip loans, and weeks for rental loans. Rental loans are 75% LTV on fixed rate loans. A BP investor got these: $2,500 in points, $695 doc fee, $450 appraisal and the regular taxes/insurance with a ~7% interest rate. They do have a minimum FICO and DTI, hard pull on credit and 2 months bank statements. Michaela also is using them.

Lima One Capital www.LimaOneCapital.com no seasoning, 70 ARV 9.9% 90% loan to cost. Escrow the draws. No prepay penalty, $2000 origination. Full after-repaired appraisal. Orlando investor Stephen Anderson recommends. Bought RealtyShares, used to do BPO but no longer.

Marcus by Goldman Home Improvement loan, unsecured https://www.marcus.com/us/en/personal-loans/types-of-loans/home-improvement-loans

Mofin Mortgage https://mofinloans.com/ Rental Property and Bridge Loans for Investors. Experience gives you better rates. Directly Lender.

Morgan Financial, local lender recommended by a local AF investor Morganfinancial.net

Mortgage Firm www.mortgagebrevard.com Caryl Devlin.  I used her for a refinance.

Movement Mortgage, 80%

Old Capital Lending-  MULTIFAMILY.

http://www.pearlfinancing.com/ Commercial Financing

PenFed has 10 year investment property mortgages. PenFed did a drive-by appraisal, looked at sales comps for HELOC. I've used them for HELOC

https://www.newpennfinancial.com/refinance/investor-loans Penn Financial investor loans. 75% LTV, cash out option.

PNC Bank FL. Excellent rating. Rapid Refinance…4 day loan. Heloc but only on primary residence. Will do investment mortgages. DTI 36-45% of gross monthly income, including proposed loan payment. 3% down with PMI available. Purchase, refinance or construction loans for non-owner occupied. https://www.pnc.com/en/small-business/borrowing/business-loans/investment-real-estate-term-loan.html

RCN 12% 2-10 points 80% LTV 50k to 2.5M

RCN http://www.rcncapital.com Rehab noo 1-4. Cross-collateralization is allowed. 85% of the purchase price. 65% refinance. 50% cash out. Also an ARV loan, up to 85% of the purchase price + up to 100% of the renovation costs, not to exceed 75% of the after repair value. Prior real estate investing experience is required to qualify for this product.

RCN Capital's latest product offers financing for up to 90% of the purchase price and up to 90% of the renovation costs to ensure sufficient funding for any rehab project.

RPLG- Bob Green from BP Lends 5x liquidity.CASH OUT UP TO 75% OF FAIR MARKET VALUE 1 DAY AFTER REHAB.

We offer non- recourse lines of credit for investors starting at 1 million.1. One stop shop bridge to term line of credit starting at 1 M to Acquire, renovate and lease vacant homes for a long-term hold strategy for the buy/hold investor - 25% out of pocket from investor - 75% from the line for acquisition and rehab-Minimum of: 75% loan to value or 1.20x projected debt service coverage. The goal is to use the line to build a portfolio of properties and finance them to our term debt program at 75% of fair market value - Repeat process.2. Fix n flip line of credit starting at 1 M to Acquire, renovate and sell vacant / leased homes - Minimum of: 75% loan to value or 85% loan to cost for acquisition and rehab - 12 - 24 month term.

Rehab Financial http://rehabfinancial.com/how-rehab-loans-work 65% LTV 100% purchase price and repairs up to 65% LTV. Need 3-6 months bank statements

Renovo Financial —Updated Nov 16 Renovo Financial- Up to $1M for landlords, Purchase, refi, or cash out. $125000 minimum property value. $25000 minimum cash reserves. Credit score of 640+ one year prepayment. SFR or 2-4 units multifamily. 65-80% LTV, held in a business entity.

Rental Home Financing- MF uses http://www.rentalhomefinancing.com Blanket loans for multiple properties. Blanket 1. Sell any time. 30 yr fixed 75% LTV, unlimited cash out 6.5%-7.5% fixed rate.

Blanket 2 ARM. 5/30 and 10/30 75% LTV, unlimited cash out, 5-10 yr fixed, 5.25%-6.5% fixed. 30 yr fixed. 75% LTV 6.5% - 7.5%.

5 houses and over in a blanket.

Residential Capital Partners. https://residentialcapitalpartners.com/ 10% 3 points 9 months. Karen Rittenhouse suggested. Submit house, 2-3 day approval, work on repairs, submit draws, receive funding as inspected, sell house, repay loan.

Ridge Lending, Caeli Ridge Ridge Lending- Conventional 85% LTVPortfolio financing http://www.ridgelendinggroup.com/ Exceed conventional limit with an additional 25 loans. SFR to 4 units. 30 year fixed and adjustable. No prepay. 75k minimum loan. More info below. I've used Caeli on a number of mortgages. Now offers a first position HELOC

RP Funding Orlando based direct lender. “We allow you to have up to 10 properties"

Seacoast National Bank, doesn't look small or particularly local.

Sherman Bridge Hard money, landlord and rental property loans. Three step loan process, which begins by obtaining a HML or rehab loan to fund the property plus repair cost. Once repairs are done, the property is refinances into a 30 year conventional loan. Fast Track Application, a $999 commitment fee, and request a draw for construction and repair funds.

SOFI 30 year fixed 4.250% up to 80% LTV 30 year. 5/1 ARM interest only 4.125% up to 75% LTV. Owner occupied. Refi with 20% equity 80% loan. They use an automated valued model. BUT does require an appraisal. No prepayment, no origination fees.

https://www.securedinvestmentlending.com/ Nate Trombetti

Sun Trust Mortgage www.suntrustmortgage.com

Sunshine Bank, just bought Florida Bank of Commerce. Loans in the commercial space to include working lines of credit. Also conventional FHA, VA, Jumbo and construction of primary residences.

Supreme Lending Looks like a big conventional lender, did not contact. Nancy Davis.

https://www.synovus.com/ Tampa area is closest. The mortgage bank I usually use wouldn't do HELOCs on investment properties but they referred me to Synovus Bank. As long as the LLC is at least 2 years old, Synovus will offer up to $49,999 just based on your personal credit score and a one-page application. If you want a line above $50,000 you will have to provide more financials. Rate is Prime + 1.5%. The line is reviewed annually with total term of 5 years. Any balance after 5 years jumps to 18% so I'll be sure not to carry a balance after the maturity date. Total fees Florida Doc stamp $173.25, Comm LN Origination Fee $495.00, Comm LN Fee $300, UCC Future Release $10, UCC Fee $35. Total to close $1013.25.

Various biz lines of credit. For >$50k up to $250k they need: Completed Application, Copy of all guarantors Driver's license, 2 years Tax Returns Business and Personal of all Guarantors, Completed & Signed Personal Financial Statement of all Guarantors, Debt Schedule, YTD Financial Statement. For >$250k up to $500k it's the same as above but it's only a 1 year Line of Credit instead of a 5 year.

TD Bank will do HELOCs on investment properties. Desktop underwriting causes a credit pull. 

Trustco BP member says they got a 4 plex loan with 10% down. No PMI. July 2018 rate 4.5% on primary refinance. Melbourne

She refinanced under a year, and suspects there is no seasoning. https://www.trustcobank.com/page/home-equity-loans-and-credit-lines-42.html Went in and spoke with the loan officer. She referred me to their “Commercial” specialist, who handles all investment property. They will do an 80% HECL on owner occupied properties. All Branch Managers are Loan Originators. Melbourne

Vertical https://verticalfundmgmt.com/real-estate-investors/

VISIO Visio Financial Services- National Lender with programs for flips, rental & refi with less than 6 months seasoning. 65% 12% interest, no doc, vacant ok, 30 yr am, 36 month due. 50% cash out refi. Rental360 program, allows refi on 3 to 5 properties with one closing. Available as an ARM or as a 30 year fixed, add 50 basis points. 75% LTV rate is 7.50% JI from BP says: "I am regularly closing on 30 yr loans for my rentals that are cash flowing quite nicely. Try Visio or FOAC (Five Oaks). Those are my top two recommendations at this point. I used to have to focus on finding financing for my deals now I have to focus on finding deals for my financing!!”

QuickenLoans go to 10 loans and have had good rates. "Quicken loans is incredibly fast and easy to work with. Also they are the ONLY lender I have found to refi rental properties into investment loans who accepts no down payment when you have enough equity in a property. This is incredibly useful for hard-money purchases to refi out to a conventional loan and hold the property."

US Bank “I bought 18 properties in 9 months and used a commercial lender. It was not a portfolio loan, they are individual standard commercial loans but I did 3-5 at the same time. So like once a quarter I would start looking for properties, find 1-2 anchor properties and put them under contract with a 60 day closing. Then I would spend the next 30 days seeing if anything else would fit my criteria.

Commercial loans are typically not for new investors, so you may need a few properties and a few years under your belt before the banks will work with you. ” BS

Neal Johnson used to be with Everbank and now at USBank. Melbourne

US Commercial http://www.us commercial.us/1-4-units.php Broker. Can do unlimited properties. Buy and Hold. Maximum LTV is 70%.Wide variety of rehab products. Lends to entities, not individuals. All require a personal guarantee, no primaries. 10% down 90% of purchase price, 100% of the renovation costs and 100% of the closing costs. And, yes, they do FLORIDA. Not cheap. They do a BPO, credit check, fees for draws, processing fees. She doesn't care about DTI and does not look at tax returns. Up front cost for appraisal and credit. 6% range with 30 yr am, points not to exceed 4. Between 9 and 12%, $150 per draw. Rate dependent on experience and LTV.

Wrenn. Charlie Fitzgerald from BP is now CEO http://www.reiinvestorfunds.com/programs.html

Non owner occupied only. Purchase, Refi, Cash out, Rehab or Bridge loans. Up to 85% as is value plus 100% rehab. $150k to $3M, term 6-12 months or 2 yr, SFR and 2-4 units, interest only, 620 min FICO.

1st Florida Lending Corp. claims to offer the largest selection of mortgage programs in Florida, including non-QM loans, bank statement programs, stated income programs, jumbos, and much more. Qualified Mortgage has minimum standards including ability to repay rule. Interest only loans are not covered by Dodd Frank. 40 yr mortgages and neg=am mortgages are also non qm mortgages.