Refinancing, LOC, or a portfolio loan?

[Sean Ridlon]

Hi, guys and gals. I've looked at this topic on a few searches of the forums but thought I'd ask my own question. My partner and I have two duplexes, a three plex, and two single family rental homes in the state of Ohio. We bought them all for cash; we currently 80% occupied and generating plenty of cash with no debt and very low operating costs.

We'd like to obtain a LOC for our business, a portfolio loan, etc in order to keep bringing new properties into the portfolio.

What we are running into is that most of the portfolio is potentially under 75k per unit, but what caught me by surprise is the number of lenders who liked us either for a business LOC or portfolio loan but had residency requirements (of course we have local managers of all of these). I didn't know I needed to move to Ohio to borrow money there! (not that I'd be against it, I love Ohio but my wife's family is here in Florida) 

If anyone has any experiences with Ohio residency requirements I'd like to hear about that, too. Obviously I already pay Ohio income taxes. 

[Remington Lyman]

Originally posted by @Sean Ridlon:

Hi, guys and gals. I've looked at this topic on a few searches of the forums but thought I'd ask my own question. My partner and I have two duplexes, a three plex, and two single family rental homes in the state of Ohio. We bought them all for cash; we currently 80% occupied and generating plenty of cash with no debt and very low operating costs.

We'd like to obtain a LOC for our business, a portfolio loan, etc in order to keep bringing new properties into the portfolio.

What we are running into is that most of the portfolio is potentially under 75k per unit, but what caught me by surprise is the number of lenders who liked us either for a business LOC or portfolio loan but had residency requirements (of course we have local managers of all of these). I didn't know I needed to move to Ohio to borrow money there! (not that I'd be against it, I love Ohio but my wife's family is here in Florida) 

If anyone has any experiences with Ohio residency requirements I'd like to hear about that, too. Obviously I already pay Ohio income taxes. 

I have some lenders in Ohio that I can refer you to. I am sure some of them lend to businesses.