Conventional loans for properties under $50k?

[Mike Tremblay]

So I bought a duplex (just one side) for about $44k including repairs and closing costs and all using my HELOC. My plan was to refinance it with a conventional type of loan and use my HELOC to buy more. But almost all of the banks/credit unions I've talked to won't do a loan for such a small amount. The best deal I've found is 5.5% for 5 yrs fixed amortized over 15 years and the rate adjusts every 5 yrs. Is that the best type of deal I'm going to get? Or am I just calling the wrong places? I have an excellent credit rating.

[Chris Mason]

Originally posted by @Michael Ablan:

I've ran into this issue.  Call the small guys.  Check out the banks in your local Walmart.  Open up google and pull up a list and call every single one.  You'll find someone who can do a 30 year fixed re-finance

 Quicker way might be to call listing agents on ~$50k props, say you want to write an offer but your lender will not go that low, and ask for a referral. 

Most good listing agents on a wonky property will have someone that can lend on it, as part of their duty to the seller to ensure that it sells for as much as possible.