Delayed Financing Exception in South West Georgia or just GA.

[Brian Thurmond]

Hi, my wife and I took our first big step. We invested in our first single-family property. Initially, we were going to get into a duplex and a conventional loan that was rented and cash flowing above 12% for the year, but we found an even better deal to BRRRR. I loved this idea from the start after listening to David Greene, and reading his BRRRR strategy book. We did not even negotiate the price all that much.

The listing was for 45K and we got it with closing just a little itsy bitsy over 42K. The property is distressed, the owner was probably distressed. She was and is highly motivated to sell (she has a few more). As is, this place is rented at 700$, and county appraised for 70K and some change. The comparables for this home down to the same square foot, lot size, rooms, baths, area, etc. are ranging from 90K-130K. One even sold for 200K in April of this year. 

After we repair the big stuff, and the small stuff the rent should be at an easy 1K/month. Repairs are estimated at 17K, but I am thinking 25K at the absolute max. This will bring in a 381.35% cash on cash ROI, and 285.38 monthly cash flow after we finance and pull out all the money we have in the deal, which we should be able to do somewhat comfortably.

I am a South West Georgia native. I understand the area. Unfortunately, the area does not necessarily understand me. I am humble enough to know that I MAY lack the necessary communication skills. I left there for a while and while I may have lost my way for a time, I am back. 

What I mean is that when I mention cash-out refi, or specifically, the delayed financing exception, I can literally hear eyes rolling into the back of heads. I know because of the sound they make. It is a quick clicking sound when the eyes stop rolling, kind similar to a ball-point pen clicking. The Lenders I talk to (referred to), have very little knowledge of the delayed financing exception. The realtors have little knowledge. Heck, I have little knowledge, but that is not the point. I would like to talk to someone in Georgia, who is familiar with my area who can educate me, and be happy to teach me the ways. And, it goes without saying; ultimately, I will be paying their institution to lend me money (so long as I and they can formalize an agreement of terms). 

I know that I have, just not met the right people. I know that there are those savvy lenders, realtors, and investors out there who know who to talk to about these strategies. Perhaps, it is just that I have been approaching things all wrong. Maybe I do not know how to properly phrase the question; do you know about Cash out financing, and the delayed financing exception. That is what I most often ask. It is a bit direct. I know it is a bit frank, but I thought it would be best to help me be better understood. 

Can anyone offer me pointers on how to best ask lenders about this program? To be fair, I asked PNC and USAA about this program and I also had to explain the principle to both as well as show them where to find it on Fannie Mae website. THIS is apparently not known in many circles. What are some of the strategies that I can use to find these people with the knowledge I require? 

Thank you for your time.