All Forum Posts by: Chris Cambridge

Most options start at $3MM

Max 65% LTV

5 year interest only depends on program

Fully amortize option 25yrs

5-6% start rate

Non-Recourse

6 Months Interest Reserves needed

What's the exit strategy?

The fact that offers were made is one thing. If those offers were relative to asking and not low ball then you're in hot water. 

Let's think this through. 25/36=69%. Where is the LOC supposed to go? And what LTV did you expect? Now if you have other assets with less than 65% debt you may get some leverage to 65% CLTV as a second. If you are at 700+ scores then @Jason Shackleton suggestion is a strategic one.

There are short term and long term programs that are no based on W-2. The real qualifications address credit experience, DSCR, property value and location. Last but not least you have to show reserves 6-12 months.

Simplify it. Listen to and evaluate advice you get here and get partners by building relationships. 

I'm not in the non-qm space but I haven't seen any over $2MM. It's troubling that it is being compared to products that are designed for $3MM+ and 50+ unit transactions. I think you're cross analyzing the wrong data. That's why the only proper response to a rate question is, what are your expectations provided blah blah blah blah blah?

Hero that would still be determined by the loan product, market, DSCR, LTV, credit. The reasonable response is what are your expectations regarding LTV, DSCR, liquidity etc? Your mention of terms is absolutely critical.There are 3-4.25%, 4-6.5%, 6.5-8.75% programs with lower rates for shorter 5-10yr terms full doc and upper rates for limited docs and longer terms. Everyone is smelling the roses when they hear the rates. Reality hits when the file gets to underwriting.

Details

The real conversation is not that it's high but what do you qualify for and comfortable paying. Is this investment or PR with rental income?