Portfolio Cash Out Refinance

[Brandon H.]

Hello all, I'm currently working on a refinance of a portfolio loan. The portfolio has a current value in the 3M range, I owe around 1.4M and consists of 6 apartments and a commercial building. I've found a local credit union that will give me a new loan with a great rate in the low 4's AND a 30 year Am. However this credit union is not willing to cash out any equity only offer me an equity line that can be converted to permanent financing. Are there any good portfolio products that will cash me out (60-70% LTV), have a good rate AND a 30yr Am or is that pie in the sky? I would use the cash to purchase new properties. Thanks in advance.

[Greg Dickerson]

Originally posted by @Brandon H.:

Hello all, I'm currently working on a refinance of a portfolio loan. The portfolio has a current value in the 3M range, I owe around 1.4M and consists of 6 apartments and a commercial building. I've found a local credit union that will give me a new loan with a great rate in the low 4's AND a 30 year Am. However this credit union is not willing to cash out any equity only offer me an equity line that can be converted to permanent financing. Are there any good portfolio products that will cash me out (60-70% LTV), have a good rate AND a 30yr Am or is that pie in the sky? I would use the cash to purchase new properties. Thanks in advance.

Credit unions can be too conservative and have unique limitations and restrictions. You need to go to every local commercial bank in your area and offer them the opportunity. They have much more flexibility. Every bank is different and will approach this deal differently but if you walk in the right way, speak their language and package the opportunity and your financials correctly you will be calling the shots. Banks should be competing for your business in this environment.