Seasoning reserve with portfolio lender

[Jonathan Leblond]

Hi BP, I need help to understand seasoning and find different options in our business model.

All right, what I understand is that seasoning is required when someone is buying a house with a conventional loan in order to make sure they have sufficient reserves, in order to pay for the acquisition, and that they are in the habit of saving and will continue so they will be able to pay the loan.

But, for an investor looking at a portfolio loan and running a business is it necessary? The way we operate is: We find a building, we tell our investors partners that we have a good deal. Then, they lend us the money for the cash down and we buy the building. They can transfer the money pretty fast, but they only need to transfer it when we are ready to buy not for 3 or 6 months before we want to buy... Is seasoning always required?

Thanks!