Should I give up trying to refinance?

[Wil Reichard]

I have been struggling to find someone to refinance a fully tented industrial building of mine.

I was originally looking for a 75% loan to value. For a reasonable interest rate, knowing today’s markets. I’ve been told by many local banks and credit unions that they will not do the deal.

To put it simply, I’ve been told that I do not have enough skin in the game myself in order to cash out some equity.

We bought the seller financed with only a $30,000 down payment. There is an $80,000 assignment fee so we ended up paying a bit more but our only down payment towards the building looks to be 30k. We’ve put maybe 25k into the building since ownership (which was June 23’), but apparently it isn’t enough seasoning for thanks to want to cash me out.

Here are some of the details:

Purchased: June 2023

Size: 4,300 SF

location: Greenville, SC

Tenant: NNN lease, 3 year lease with renewal options that commenced in April 2024.

Tenant pays $6,200 total. $5,000 net after taxes and insurance Internet is responsible for maintenance.

Down payment: 30k

Value: $725k +

Current loan: $440k

I just wanna pull $50-$75,000 of equity out of the property without being killed on a really high interest rate. My interest rate right now is 6.25%.

My question is, should I give up looking for a lender or private lender who would finance this at a rate below or around 8%? Lastly, this loan would need to be heavily dependent on the actual property instead of my tax returns as I just quit my job a few months back to go full-time into Real Estate.