BRRRR Conventional Refi - Sub $100k loans OK? Points? Rate?

[Sean McCluskey]

Hey BP!

I have a couple detailed financing questions I'm hoping you can help me with.

1) 

I was talking with a lender today who asserted that, in order to do a conventional (Fannie Mae/Freddie Mac) cash out refi of a BRRRR SFR, you typically need to pay 2-3 points for a 6.25% rate and 70-75% cash out, and that getting a loan for less than $100k was difficult to do.

This sounded really different than everything I've heard on BP (I haven't heard about people needing to pay so many points or facing a $100k minimum loan - $50k yes).

Is there some truth to this, or was I just being steered to the business line of credit and line of exposure that we proceeded to talk about? The lender says he can do both conventional and commercial lending.

2) 

The line of exposure sounded pretty attractive - the exposure size is set at 5x your total liquid assets and reserves, including a number of different sources of reserves that include depositing a full draw on the first line of credit (which funds against the equity you have in current properties) into your bank account. Has anyone used one of these facilities? What was / is your experience with such a line?