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Updated about 1 year ago,
DSCR Refi with a less than ideal LTR rate, but perfect STR rate?
I will be soon finishing up two builds on STRentals, under my LLC, in the Smokey mountains I used a hard money loan for. The appraised value after the build will be about double what I will owe the hard money lender. I want to cash-out refi with a DSCR loan. Conventional will not work.
I need to cash-out 75% LTV to have $ for future projects and furniture. My two issues are,
will a DSCR Cash-Out Refi lender take the projected LTR rate or can we do comps for the STR rate? The LTR rate is much too low, but I am in Gatlinburg, so it's a common thing to build assuming STR.
also, will the lender need any seasoning period? I need to get the money as quickly as possible to furnish the rentals and don't want to loose any time as I already have land picked out for the next projects.
Answers/suggestions or recommendations to DSCR lenders/brokers than can help me are greatly appreciated.