All Forum Posts by: Andrew Postell

@Ian Price you will not be able to use hard money on your own residence.  The lending laws are highly strict on loans secured by your primary residence and that's why hard money lenders do not lend on a primary home.  There are three other solutions for you to consider:

1. FHA 203(k) loan

2. Conventional Homestyle Loan

3. Portfolio Loan

Again, the refinancing step is not the issue for your scenario.  It's just the fact that you are looking to house hack.  Once you declare it's your personal home Hard Money is out.

@Randy G. this sounds like a lender "overlay".  An overlay is an extra rule the bank puts on top of the normal set of rules that Fannie/Freddie have on their loans.  The lender even references "our conventional guidelines" and that certainly sounds like the case.  I'm not an expert an Indiana laws but it sounds to me that you just need to find a lender with no overlays.  Private message me if you need further assistance.  Thanks!

@Michelle Romano based on your description a hard money loan or a portfolio loan will be your solution. I would also encourage you to speak with a standard lender to see if you could be qualified for a Line of Credit type of product that could also help with this type of work. Even if you have "not standard income". Lines of Credit will have significantly lower costs but it could take a lender to 30-45 days to complete the LOC. Also, 6-8 months of work at $20,000? Most work at $20k should be done in a week or two. Time is money. Get on that contractor to get your job done quickly. 6-8 months would not be acceptable to a lot of investors.

@Herve Alce there's a couple of questions that may need answering but I think you should have 2 solutions:

1. if you bought the home with cash, then you can take a cash out loan under the delayed financing rule with a conventional loan. This rule allows you to receive back the purchase price + closing costs or 75% of the ARV....whichever is LOWER.

2.  If you did not buy the home with cash then you would need to find a portfolio lender to lend you the money for a cash out property.

@Adam Jason please check out Finishing Touches.  They do a ton of investment property jobs each year.

@Cory Newton research "Homestyle" loans if you want a standard conventional product for renovation work where you don't have to live in the home.  It's a conventional loan product.  There are also other portfolio loans that have this same type of feature.  Thanks!

@Mario Chavez welcome to Texas!

@Vern Darlington that's a challenge right there.  It might be easier to try to reach out to ANY realtor there and see if you can tell them exactly what you need.  Whitney has what, 2000 people live there?  There maybe only 10 realtors there to begin with! Good luck with your search.

Welcome @Nicole H. !  Glad to have you aboard! 

@Kyle Spinale get used to receiving those letters.  You'll get all sorts of mail saying you are prequalified for loans, credit cards, etc.  You may even get letters stating that for mortgages too.  These letters are run through a system that just mails them out to anyone who is over a certain credit score or meets some type of a profile match.  It might turn out that you are prequalified but receiving a letter about a loan is not the same as a mortgage.  Same goes for credit cards too.  As always, if you choose to speak with any of these banks interview them thoroughly and I would advise for  you to not allow them to pull your credit until it is time to do so.  In these types of conversations you will learn what to look for.  If the bank is hesitant to give you the information you need to make a decision then that should tell you something about that bank.  Hope this helps.