All Forum Posts by: Bobby Feinman

Kevin

How much cash do you have to put down on this property?

Archie

That is not necessarily correct. To answer that question definitively I would ask your friend the following question(s):

1) Is is 12% of the loan amount (12,000 on a 100,000 loan) or is it 12% based on an annual interest rate (1,000/month on a 100,000 loan) 

2) Is there a minimum interest requirement

Also inquire into the LTV and a breakdown of the loan proceeds -- how much to acquisition and how much to rehab. You want to confirm that 100% of the rehab will be funded from the loan.

Hope this helps!

Bobby

We use annual projections from airdna for short term properties and a market rent schedule from appraiser or a lease for annual tenant properties

Patrick

We make long-term rental loans on short term rental property and use the projected annual income to determine the DSCR.

Let me know if I can be of any assistance

@Michael Watterson 

Welcome to the site. I am also from VA Beach as is Sean Rooks who also posted on this thread. There is a wealth of knowledge and resources here. Let me know if I can answer any questions for you re: funding!

Bobby

Hey Kristin, I'm also in VA Beach. Would love to meet with you and your husband!

@Brent Huling:

This is the preferred strategy with many of my clients. Start with a short term loan to rehab the property and then refinance with a DSCR loan. In most cases, clients get most/all of their cash back at refinance as long as the ARV supports it. With respect to down payment, we are close to 10% down. I think it averages 10-12% depending on the deal

Last but not least, there is NO SEASONING as long as rehab was done to the property!

Bobby

East Ocean View anywhere around/near East Beach has lots of STR opportunities. I'm the "Bay" streets starting at the intersection of Shore Dr and Ocean View Ave.

Let me know if I can assist you!

Bobby