Non recourse loans

[Joshua Hall]

Good Afternoon; I am an investor in north Dallas looking for a non recourse loan for two single family residences. My self directed IRA wholly owns a single family residence with no liens. I've owned it for two and half years with great rental history and only 1 month of vacancy in that time. The house is valued at 165K. It rents for 1325/mo. I am looking to purchase another property valued at $150K . This unit will rent for $1800 per month. However, This new acquisition has a roof that is need of repair, thereby preventing it from qualifying for common financing. My goal is to acquire non recourse financing to make this new purchase(at $120K) and use both homes as collateral for the loan. Using both homes for collateral at 65% LTV will cover the acquisition/repair cost of the new property. The problem I'm running into is that lenders don't want to lend on a property with a roof in disrepair. They want it repaired before closing. If this was possible, this property would have sold by now. Does anyone out there know of a non recourse lender that would be able to make this loan without requiring the roof to be repaired before closing? Any thoughts are greatly appreciated. Thank you.

[Daniel Dietz]

My daughter just went through something similar, but not with non-recourse in mind. 

Her house did not have a functioning septic system and was a short sale, so quite a few issues that made it a 'slow mover' for most people.

She worked with a local community bank to do a short term 3/1 ARM 'In House' loan, which as soon as she got the work done she refinanced into fixed rate long term financing.

Just a thought. Not sure how the big non recourse banks do it

Dan Dietz