BRRRR Financing Problems

[Etienne Martel]

Hello!

A couple of months ago, I started to purchase properties in Memphis in which my plan was to do the BRRRR process with. Now I own 3 properties free and clear, the repairs have been done and 2 of them are currently occupied, the last one will have a tenant in about 2-3 weeks.

I would like to get my cash out of these properties so that I can begin to acquire more and more. But taking my cash out and refinancing these properties has not been easy at all. I have talked to many big banks, many hard money lenders, and many private money lenders. For one reason or another they have all turned me down. The biggest problem being that I have only owned these properties for 1-2 months.

Has anyone out there found a company who will lend money on these BRRRR properties without the 6-12 month seasoning period? Can someone please recommend a bank or a lender who can help me out?

Thank you very much!

[Sean Tagge]

Hello @Etienne Martel

I have done 3 BRRRR's in Memphis. what Andrew said is correct. So what is going to get this done for you is a lender that specializes in real estate investments. The lender I used was Aaron Chapman with SNMC, our clients have also had success with Joe McBreen with Guaranteed rate. The both specialize in investor loans and can direct you on your best path to refi.

Anyways the only way for the fannie freddie loans to work is if you have a stable w-2 income. 

I do know that if you wait 6-12+ months the more the lenders would let you refi out of the property. 

Anyways hit me up if you have any questions or need any property management, or if you need some more BRRRR deals we can help you out with that.