All Forum Posts by: Andrew Zamboroski

Is it just me or have escrow agents been failing to follow simple wire directions?

On my previous 2 closings I have had escrow agents wire a Broker Fee to a third party processors as well as crediting a borrower the entirety of a broker fee.

Neither of which were approved by broker or lender.

Just trying to gain an understanding if this has EVER happened to other lenders in the space recently.

I have a duplex Ive built some equity in. Would it be worth it for me to go from a 6.5% interest rate to a 6.87% rate if I could get 50k in cash out after all closing costs etc? This would bring my monthly cash flow to almost nothing due to the larger loan. Thats not including vacancy/repairs etc. I have the opportunity to make 3% per month  on other PML investments. I could also look into buying another rental with the cash out proceeds. I know many investors do cash out refi's for down payments on other properties, Im just a little nervous bringing my cashflow to basically 0. Any advice would be appreciated. 

i am looking to make my first investment. Lenders get excited when I tell them I make 6 figures in 6 months and my credit bounces between 680-720. Then when we dig in I don't qualify for anything because I have never worked a job for more then a few months (I do specialty construction gig work). I bounce around between multiple W2s and 1099 MISC. I haven't been on a rental lease for 20 years. I have been in this industry for 10 years and make great money every year. Anyone have any suggestions? Thank you 🙏

-Gabe

P.S. I am interested in getting a home with rental income, a triplex or four plex would be ideal.

Not my first BRRRR, but have some concerns with the current state of local values, mixed with a few personal factors. Just looking for some differing opinions, while I fully understand there isn't a "right or wrong" answer here.

I wrapped up my latest renovation project a few months back, and now we have a great renter in place. Here are some rough numbers on the deal.

Purchase = $118k

Rehab = $65k

Rent = $2000/month

Mortgage = $900/month (conventional 7.8% rate)

ARV = $250k (very few recent sales/comps have me questioning this number more than my past deals)

My plan was to cash out with a DSCR loan in September, but with rates high and values low, I am not considering waiting until next spring to conventionally cash out, saving money up front and getting a lower rate. In addition, with market and appraisal uncertainty, I don't want to go 0/3: appraised value (lower cash out), interest rate (higher rate) and closing costs (paying more). The benefit is pulling my cash out quicker and putting it into another deal. Or, putting it towards a contingency fund for our family (below)...

We are expecting our first child in September, and as much as I'd love to have the extra cash on hand in case our primary residence or rentals have any emergency issues that need swiftly handled to alleviate stress while on new dad duty, I don't want to rush into the DSCR cash out and end up not using the funds before next spring anyway. In that case, waiting and going with a conventional cash out in Spring 2026 (with hopefully lower rates and/or higher appraised values) would be the best move.

The current cash flow on this property alone is fantastic, and I do also work a full-time W-2 job, but I am torn between expediting the cash out process or waiting a few more months to hope to improvements to all 3 of the aforementioned items.

Any advice, considerations or ideas to get my plan set would be much appreciated!

I recently discovered that the "10/30-year ARM" I enthusiastically signed was actually a 10-year interest-only loan—nothing I paid went toward principal for a full decade. After five months of $795/mo payments, my balance remains untouched, and I now face $21,000 in excess interest compared to a standard 30-year mortgage. The Term Sheet I signed never mentioned this IO feature in plain English, and my broker’s assurances were limited to “10-year ARM” jargon.

I’m seeking insights on:

• Disclosure best practices: How can lenders ensure borrowers truly understand ARM vs. interest-only?

• Remedies and recourse: What steps can a borrower take when industry terms are buried in fine print? I am looking for advice here. 

• Your experience and advice would be invaluable—both to correct my situation and to help raise the bar for transparency in ARM lending.

See the agreed upon Term sheet below.

Please share what I can do. Thanks Andrew

Hey BiggerPockets Community -

Need some advice regarding properties that are below $100K. I've traditionally done DSCR loans where the minimum loans have to be at least $100K.

Now I'm seeking SFHs that are priced below $100K, which doesn't meet that DSCR loan requirement. For example, there's a SFH priced around $49,500 in the Pittsburgh PA area and I'm doing the buy and hold strategy.

I know there's hard money lenders but they tend to have crazy high interest rates.Does anyone have any advice about financing below $100K?

Thanks in advance for your tips! 

Hi Everyone,

Just sharing some insights about the latest developments in loan comparison technology. There are tools (some are based on AI) out there that can quickly analyze multiple lenders and provide options — all designed to help borrowers make informed decisions, as they say. 

Please share if you used any of these tools - any success stories?

I'm a direct hard money lender, and my company is relatively new. We work primarily with brokers as we continue to expand our outreach. Most of our broker relationships are strong, and they bring us a good amount of business.

However, a common issue we encounter is brokers adding excessive fees, which can kill a deal and just take advantage of a borrower. When this happens, I sometimes try to get the broker to lower their fees, as our lending price is fairly set due to investor commitments and capital costs. Sometimes this works, other times it doesn't, and it can occasionally strain our relationships.

I'd love to get some input from current hard money brokers. As a lender who wants to close a deal, is it appropriate to negotiate with a broker to shave off 0.5 to 1 point when they are already making at least 1 point on the deal?

What are your thoughts on this from a broker's/lenders perspective?

I have a question regarding a rental property owned by a single member LLC. The LLC holds a commercial mortgage that includes a due on sale clause. There is no operating agreement in place, and just the sole manager and 1 member.

Considering transferring ownership of the LLC itself (not the property) into revocable living trust. There will be no change in management, no new members added, and no amendments made to the LLC structure just a transfer of membership interest from personal to trust, where serves as trustee.

Would this transfer of the LLC into the Trust trigger the due on sale clause under the commercial loan terms?

I found a property I will be closing on shortly, and am about to finance the deal, but before I proceed any further I want to make sure I am selecting the right financier to assist with the lending portion.

I found somebody on google a couple years back, kept in contact with him, and am leaning towards using him for financing the DSCR loan. I already gave him an application and he ran my credit once, so he has all my information, some sensitive information.

I am a bit hesitant, and maybe rightly so, maybe not, because I actually have never met him. I just found him on google. How can you vet somebody and make sure they are legit? 

I can provide the name of the company, I am just not sure if its appropriate to list them on a public forum like this as if they are legit, which they very well may be, I don't want to slander them. 

Any advice/thoughts would be greatly appreciated