People that BRRR 10-20+ houses a year, how do you refinance?

[Alex Porrett]

I may be in a unique scenario. My business partner and I BRR(R)'d a house over the summer. 80k all in. Worth about 115k now. It's already rented for $1235. Problem is my business partner and I can't get qualified for conventional refinancing due to debt to income ratio reasons like we were able to for our previous BRRR. I have a W-2 job, but he does not (he has a large investment portfolio that he can live very comfortably, ironically I qualified and he didn't). We tried 4 banks and they all came up with drastically different DTI ratios. I won't bore you with the details because ultimately even if we found a bank to correctly document our income and expenses (and allow us to use rental income from properties with less than two year seasoning) we're just going to run into this issue again on the next one.

So my question is: How do you people that BRRR 10-20+ houses a year do it?  Do you obtain a new commercial loan on each one? Do you wait until you have a couple then package them into a commercial loan. Is there a loan product out that you can keep adding properties too?  Are there any specific companies that you can suggest? Thoughts on visio, lima one, lending one? Terms we should expect? 

Any direction would be much appreciated. 

[Kyle Mccaw]

@Alex Porrett I feel you man. I have been in your shoes. Don't give up on the local banks. It took a long time but I found a local bank that underwrites my rental portfolio as commercial loans. Also there are a few private equity funds that lend out on long term rentals. I could refer a few for Texas. Unfortunately I do not know about MI. Hard money lenders have recently gotten into the long term lending business. Yes the interest rate may be a little higher. But historically speaking it is ok. Just be sure to plan for a 2-4 points higher rate when analyzing your deals.