Real Estate Deal Analysis & Advice
Market News & Data
General Info
Real Estate Strategies
![](http://bpimg.biggerpockets.com/assets/forums/sponsors/hospitable-deef083b895516ce26951b0ca48cf8f170861d742d4a4cb6cf5d19396b5eaac6.png)
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
![](http://bpimg.biggerpockets.com/assets/forums/sponsors/equity_trust-2bcce80d03411a9e99a3cbcf4201c034562e18a3fc6eecd3fd22ecd5350c3aa5.avif)
![](http://bpimg.biggerpockets.com/assets/forums/sponsors/equity_1031_exchange-96bbcda3f8ad2d724c0ac759709c7e295979badd52e428240d6eaad5c8eff385.avif)
Real Estate Classifieds
Reviews & Feedback
Updated almost 8 years ago on . Most recent reply
![Devin Haertling's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/676639/1621495252-avatar-devinh18.jpg?twic=v1/output=image/cover=128x128&v=2)
Is anyone trying this type of financing
Most Popular Reply
![JD Martin's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/350972/1621446005-avatar-jdm3.jpg?twic=v1/output=image/crop=940x940@0x30/cover=128x128&v=2)
- Rock Star Extraordinaire
- Northeast, TN
- 15,795
- Votes |
- 9,828
- Posts
Whenever you are working non-conforming loans (ie conforming to freddie/fannie buyback rules) you can just about do anything; if you find local banks willing to hold the notes in-house you have a whole lot of flexibility. That is a good rate for what you are doing so the bank must have a lot of confidence in what you've done so far, and you must have good financials.
Every private bank (and I'd really say every bank, but anyway) exists for one reason: to make money. Banks make money by loaning money. Real estate is a good game for banks because it's backed by (theoretically) hard assets that are unlikely to become worthless, unlike a car, business venture, etc. Small banks that are well-capitalized and uninterested in running lists of mortgages in and out can do this kind of thing if they are so inclined, so it really looks like you've found a nice slot!
Hint: Keep the name of the bank to yourself :) It's like sharing your fishing hole.
- JD Martin
- Podcast Guest on Show #243
![business profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/marketplace/business/profile_image/3768/1730515887-company-avatar.jpg?twic=v1/output=image/contain=65x65)