Anyone close to 7% or under?

Question

I'm looking to make two SFH purchases (~250K and ~200K). Can do a DSCR or full doc loans but these will be long term rentals. Adequate W2 income and 780+ credit score. Properties will be bought in an LLC and are located in western Pennsylvania. Is anyone close to or under 7% interest with only 1-2 points? Looking for 80% LTV but can do 75% if rates are much better.

Thanks

Patrick Roberts · Answer

I dont lend in PA, but this should be achievable with 25% down assuming these are SFR and not condos.

Alex Bekeza · Answer

Hi @Karolina Powell if you check out the link to my pricing engine in my BP profile's BIO section you'll see that we'll be priced under 7% on a 30 year fixed at 80% LTV assuming top tier FICO today. This is without any income verification too.  LLC vesting totally fine with us.  Feel free to reach out directly if you want to hop on a call.

Jacob Sherman · Answer

can definitely come down into the 6's with a couple points

Derek Brickley · Answer

Got it! Not a problem, it is a county-by-county program including Washington, Allegheny, and Westmoreland counties (program is based on the median income in the area and the sales price) so could still possibly work. Elise Bickel is an investor friendly agent we've worked with, so she may be a resource.

Henry Lazerow · Answer

Rates have fallen in the last few days. You should be able to get 7.0 investment at 75 LTV on Monday with conventional financing. Try locking in morning Monday as rates been very volitile.

Karolina Powell · Answer

Hi Derek,

I do have an agent although I only have a property specific contract with them so if you know good folks, I would appreciate any insight.  Unfortunately I do not purchase within the city, only in the south hills and washington county but I do appreciate the mention of the programs.

Derek Brickley · Answer

Hey Karolina!

That sounds really familiar to a few investors we've worked with recently here, do you have an agent already as well?  Pittsburgh is one of the areas where we have a community reinvestment program - basically just trying to reinvest into the community and encourage homeowners/investors to buy in Pittsburgh.  There are a few nuances to the program, but qualifying is exactly the same as conventional (no overlays on our side).  If that might be helpful for you, feel free to shoot me a message, happy to explain a bit more about how that works for investors.

Raymond J. Rodrigues · Answer

@Karolina Powell I am seeing 6.75% with 1.5 points with putting 20% down. 25% down gets you down to 6.49% with similar cost.

Chris Seveney · Answer

you should be able to get close to that with 75-80% and a780 credit. Key is to go through someone who has a direct relationship, what kills many of these deals are brokers who go to a correspondent who are a wholesaler for an isntitution. Everyone is taking a piece and wants a yield strip so it bumps the rates. We just quoted someone just under 7% based on similar characteristics.

Anyone close to 7% or under?

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