All Forum Posts by: AJ Exner

Hey Kylie,

VERY doable as long as you are cognizant on a few things. 

Most groups are fine as long as the actual appraisal doesn't state that its Rural (see example below for where it would be on an appraisal). Even towns of less than 10k, as long as it is in a "good part" of town and there is somewhat stable growth in that area, then most lenders will not add any additional underwriting guidelines, especially if it is rented out.

I always like to do the Walmart check (kind of what you recommended being by a store). If you can clearly define your buy box and be up front with any program you go with, then you should be ready to go!

Good luck! Happy to recommend and help however I can.

Just shot you a DM

Usually any lender is going to want to get a snapshot of any potential licensure as well as your FICO, but should be plenty of options.

I guess the follow up would be moving on it ASAP, how long do you have to close? Often times that designation can immediately eliminate some lenders based on ability to close (despite their willingness to charge you *RUSH fees, etc.)

Good luck!

Yes, and generally their seasoning is going to be less, usually around 90 days

Bought, that is correct. 

Shouldn't be anything else that would trigger that, short of another purchase. I wouldn't recommend Quit Claiming it during that time but otherwise that should be the only thing. 

Hey Zahra,

Have a lot of clients working down there and you are correct, it has become a great place for investors.

Biggest differentiator that I have seen has been on appraisals after the repair. It has been best to anticipate wildly different ARVs based on not only the property details, but also the quality of the finishes that are used. It is hard to pin down specifically, but that seems to have been a factor in a few of the ARV-Appraisals that I've seen and has impacted the refinancing process.

Otherwise, it has been a great market for my clients, great cash flows and repeatability which has really helped as they have scaled.

Hey Dayana,

Yeah, Miami is a tricky one. Honestly, I've seen some great numbers coming out of Jacksonville, but it would also depend on your familiarity with Baltimore. There are some good rents and potential for even Sec 8, but it depends on what you are comfortable with and where you have a team that could help with rehab.

Good luck!

Hey Sam,

Congratulations, hopefully you can work something out.

My recommendation would be working with a lender that is comfortable with seller financing and keep your cash to close at a minimum. If you can find that, I would recommend a rehab loan to help accommodate the repair costs and do a modified 'BRRRR', or just sell it when you are done.

Is this your first investment? 

Hey Axel, 

Would love to give my two cents if it would be helpful at all.

Peoria, IL - Probably the healthiest market of the three with a lot of middle-income rental rates available and opportunities for good cash flow. However, IL landlord/tenant laws are tough and are worth taking a deep dive into if you are going to invest

Lawton, OK - Good opportunity for sure as many mid-American towns like this are prime for investors. My only concern to look out for is that things can go 'rural' pretty quickly if you start venturing outside of town, and most lenders are going to put the brakes on financing if the appraisal lists the property as 'rural' (has to do with what they perceive as the availability of future tenants).

Watertown, NY - It probably is as good as you believe, but the lending licensing is pretty tricky up there, so its just  bit more difficult to find lenders that operate up there. Not much, but something to keep in mind.

They are all good options, I would also recommend a place where you are physically the closest to or can get to easily. Especially if you are out of Denton, Lawton might be the best bet for you.

Good luck! Would be happy to help however I can.

A lot of DSCR programs I'm familiar with don't cut back LTV like that until you get to 5+, generally 1-4 units are classified together with maybe some kind of rate adder for 2-4.

I do agree with @Patrick Roberts in the rate and terms department, but there should be some good lenders out there offering up 80% LTV on tri/quad plexes.

Good luck!