BRRRR Financing in Huntsville

[Eryka Santoyo]

Hello, BP!

Question regarding BRRRR financing.

Has anyone been successful using a Hard Money Lender or any short term financing? Obviously cash is king, but I'm curious if anyone has had the same amount of success using a Hard Money lender as they would've having purchased with cash.

My partner and I are going out to Huntsville in early May and are trying to decide which lending route to take.

Thanks!

[Tim White]

@Eryka Santoyo I have BRRRR'd ( it can be a verb, right?) with both cash and hard money with success. The hard money Refi's are more risky as properties don't always appraise high enough to pay the hard money lender off completely as many banks will only allow you to Refi at 0.75 LTV.

Here lately huntsville appraisers have not done appraisals that capture the appreciation of the market especially when many of the transactions are under 100k or in old neighborhoods as there aren’t any comps. I had to challenge one of my last appraisals.