All Forum Posts by: Aaron T.

Puerto Rico got D ratings from Moody's/S&P and others recently for the state. Lending is tight because. FHA owner occupied is a great opportunity. I am licensed in PR and know agents if you want some names of english speaking agents who negotiate in PR Spanish.

you looking for a vehicle to reinvest it or just wire from bank to bank?

Normally you have to live in the property for the lender to give a HELOC, unless you tell the bank that is your home of record.

HELOCs are not typically for rental units. 

Hi Joseph, thank you for posting your response. I have lived in Puerto Rico since 2020 and I have invested in fix & flips, bed & breakfasts (2), a hotel, a triplex, a villa, a commercial complex and a large land development. And in all of those, there was no bank involved in a single one. There was 1 commercial lender involved in the hotel and I would never ever use them again. Ever. Next level predatory. There was a short time in 2022 that DSCR loans were available to investors in PR. And there are some commercial lenders for larger seasoned projects. But there is virtually nothing for a fix and flip type borrower or a BRRR method borrower.

So if you are ligit a lender for that product, especially for the sub 100K properties, which post private lenders don't even want to bother with - I would love to connect. We have lots of hungry investors wanting to do deals here but capital is an issue. And there are good reasons. Cost of securing the collateral is much more expensive here and foreclosures can be troublesome. There are only 3 major banks on the island. There are logistical reasons whey other lenders aren't here including the recording process, Puerto Rico's bond rating and lack of MLS / Comps. Standard homeowner type mortgages are common. Single person fix and flip investor loans are not so common.

What sort of loan products do you have available in Puerto Rico?  Thanks!