BRRRR refinance lender

[Spencer Harvey]

Hello,

I posted a similar question in another forum and it was suggested I ask in a local form to get others opinions who are nearby. 

I'm am trying to get financing in place for a BRRRR deal. I am already prequalified for a conventional loan for the acquisition aspect. My plan is to use a HELOC I have open on my primary residence to fund the 25% downpayment and then use the remainder to fund the rehab. After that, I planned to refi at the new assessed value and get as much of my money back out to pay down the HELOC balance while adding another rental to my portfolio.

I ran into an issue with the lender I spoke with who mentioned there will likely be problems with qualifying for the refinance if I'm not able to complete the rehab/refi before my 2018 tax returns are submitted. They stated if the other two rental properties I own show a loss on paper, it may cause DTI issues.

What alternative options do I have on this for the refinance aspect? Business loan? Portfolio lender? I’d appreciate any advice on who or where to go with this. 

Thanks!

[Pete Woelfel]

I've had good experiences with commercial loans.  I've worked with Dave Cwiklinski at Cornerstone Bank in Menomonee Falls.

Good luck @Spencer Harvey!