Delayed or (Re)Financing BRRRR deals

[Ohad Benjamin]

Hello all,

I recently purchased 3 properties in Memphis, 2 for cash, with the intent to do a BRRRR. I just completed the renovation of the first.

Moving to the Refinance (or delayed financing) step uncovered an unpleasant surprise. All cash out refinance and delayed financing lenders I've found offer financing at about 5% interest rate and 3 points.

Has anyone got financing in the past month and can offer some insight to getting financing with more reasonable terms? Maybe a lender in the Memphis market that is offering attractive loan terms?

The reason for the surprise is that the third property closed in April with much more favorable terms at 3.75% and no points. Something must have changed since then. At the time I asked the lender about refinance and the answer was that the terms would be similar.

Please reach out privately if you prefer not refer on the public forums.

Thanks