Scaling Rental Property Portfolio

[Samuel Connor payne]

So I am relatively new to the rental property side of things. I completed my first BRRRR recently and used that money to put a 25% down payment on another property. They are both rented and both are positive cash flow. However my lender told me I am at 44% of my DTI and I was tapped out. I recently just finished a flip and a few larger remodels (we own a tile and flooring company) and have the money for another if not two properties. I am curious as to how people get around this, or do they just grind it out and wait to file taxes at a higher income the next year. Are they private lenders that waive the DTI as long as the down payment is able? If so, please recommend.

[Adrian Fajardo]

@Samuel Connor payne Hello and welcome! Hey man, you should avoid using the word "new" coz you definitely have some experience already! Lol. Anyway, are you buying these properties too quickly? Because if you've had landlord experience for at least 1 year, you can use the rental income as part of your income. That should give you a little bit more breathing room. Have you brought up your rentals to your lender? You could also try looking for a local portfolio lender? Their standards may not be that strict. Lastly, flipping to build more capital might be the way to go. You could also do more BRRRRs which is nice coz you're still keeping the property.

I hope this helps and I wish you the best on your investing journey!