Advice on No Doc/No income rental loans.....

[Elina Aske]

Hi community, 

I have a question re: the best way to tap into my equity or find cash for 20% down payment, without the requirement of proof of income or tax return. A little about my RE background.... I purchased my first home in D.C. back in 2013 as a primary. I have since done a full demo and renovation, converting it into a rental, two 3BR units and have some cashflow, but not long enough to qualify for the traditional W2/income loans. I have spoken to DSCR lenders who can possibly help me finance the home but still need help with the 20% down payment.

Tips: I have about 200k+ in equity. Also, I have good credit.

Goal: To get some money for 20-25% down payment for a rental investment using home equity or other ways, which is where I need help. I prefer lenders or options without interest rates that are overwhelming or too high. 

I am still learning so please be kind and/or resourceful with your comments.  Thank you so much. 

[Elina Aske]

Quote from @Jack Tulloch:

Hey @Elina Aske,

I agree with Nick here. The rising interest rates have certainly made things tricky, but positive cash flow is still rather easily attainable with the right property. DSCR loans are definitely the way to go in this situation leveraging a cash out refi. Big question I have is, how long has this property been cash flowing? That can impact the loan amount you can receive from a private lender. Feel free to connect with me!

 Hi Jack, yes , it may be the way to go!