Rental Property Investor · Austin, TX · Member since 2019 · 30 posts · 18 votes
I bought a duplex and house in Memphis in 2016/17. Cash $42k and $34k. Have put in $20k each (most of which was paid for in rents). Now valued $90k and $75k and cash flowing.
Need to pull cash out to fund medical care for sister.
Have been offered a 60%LTV loan at 7 1/2% adjustable rate over a 20 year period. Will cost probably $4k closing costs.
Is this a good deal in today’s climate? Are there better options? Who should I go to?
I am sorry to hear about your sister I hope her condition improves.
I am glad there are people like you reaching out on BP and hopefully I can help you out a bit.
Here are my two go to guys.
You will probably get around a 70-75% LTV 4-5% fixed 30 year am. with yea around $4k closing costs. sounds a little better that what you have been offered.
Being local in Memphis. On the note of local banks/credit unions they tend to shy away from lending to out of state investors (if you are one) and their rates and terms would sound like the ones you were quoted already. Your best bet would be with one of these national conventional lenders I have referred above that lend to turnkey buyers they know the investment real estate system etc. Feel free to reach out with any other questions you have.
Contractor · Nashville, TN · Member since 2014 · 1k+ posts · 1k+ votes
6y
Keep looking. Maybe Memphis is different but a standard loan should be about 75% ltv, 5% interest. 20 yr am. Closing costs are high too. go to credit unions then local banks.
I am sorry to hear about your sister I hope her condition improves.
I am glad there are people like you reaching out on BP and hopefully I can help you out a bit.
Here are my two go to guys.
You will probably get around a 70-75% LTV 4-5% fixed 30 year am. with yea around $4k closing costs. sounds a little better that what you have been offered.
Being local in Memphis. On the note of local banks/credit unions they tend to shy away from lending to out of state investors (if you are one) and their rates and terms would sound like the ones you were quoted already. Your best bet would be with one of these national conventional lenders I have referred above that lend to turnkey buyers they know the investment real estate system etc. Feel free to reach out with any other questions you have.