Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here
Pick markets, find deals, analyze and manage properties. Try BiggerPockets PRO.
x
All Forum Categories
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

All Forum Posts by: Craig Warner

Craig Warner has started 0 posts and replied 76 times.

Post: Buying a house to rent to my in-laws

Craig WarnerPosted
  • Lender
  • Nationwide Lender / NMLS# 129642
  • Posts 78
  • Votes 15

Hello, 

You can purchase this as an investment property, using the DSCR program, where we simply qualify the property with out using tax returns, etc. Gift funds up to 100% can be used assuming you put down 25%, if you only wanted to put 20% down then, we'd require 5% of your own money, the rest can be a gift.

Let me know how I can help and I'd be happy to work up rate and loan payments.


Thank You

Craig 

Post: Interest Only Seller Financing Questions

Craig WarnerPosted
  • Lender
  • Nationwide Lender / NMLS# 129642
  • Posts 78
  • Votes 15

Hi David, 

Seller financing may be beneficial only if it requires less then a 15-20% down payment and the seller financing interest rate is less than what we may offer.

With most seller financing I have seen allows a borrower to refinance anytime, so make sure there is no prepayment penalty within the contract.

Yes, you can always refinance out of seller financing, but the property should not be upside down in value compared to the existing mortgage balance.

If you'd like to talk and pick my brain, feel free to get in touch with me.

Thank You

Craig

Post: Investment Loans (DSCR?)

Craig WarnerPosted
  • Lender
  • Nationwide Lender / NMLS# 129642
  • Posts 78
  • Votes 15

Hi Aamna

There is a lot of good advice offered here. 

We'll consider both, usually a midterm rental would have history of rent, however you mention it doesn't, so we'd use an appraisers market rent survey. 

Most lenders typically will want the gross rents at least 75% (.75 DSCR) to 100% (1.00 DSCR) of the new PITIA mortgage payment.

We offer programs with No ratio's, meaning down to 0.00% coverage. We typically lend to 80% LTV (loan to value), but if our DSCR is less than 100% (1.00 DSCR) coverage we reduce our LTV to 75%.

We are a direct lender and our rates are extremely competitive.

I'd be happy to give you a quote. I have our three decades of experience.

Thank You

Craig

Post: Reputable Lenders in Bethesda, Maryland

Craig WarnerPosted
  • Lender
  • Nationwide Lender / NMLS# 129642
  • Posts 78
  • Votes 15

I'm new this to this site but three plus decades of lending experience. Very aggressive pricing on our DSCR programs. We can help. Lending in all states. Annapolis, MD my hometown.

Post: What part of rental income do lenders consider?

Craig WarnerPosted
  • Lender
  • Nationwide Lender / NMLS# 129642
  • Posts 78
  • Votes 15
Quote from @Account Closed:

I'm planning on purchasing rental properties in the near future. Once I've gained rental income, I would like to finance a Condo and even more rental properties with my income from rentals. However, I'm a bit confused on what underwriters consider income when calculating DTI. Do they look at your total rental income (top line, before expenses)? An example: If I have 80k from total rents, but my NOI is 47k (no debt), would I qualify for a 350k loan on a condo?


If you have current rentals properties on your tax return reporting for a full tax year, we'll use the net after expenses but add back depreciated and any one time extraordinary repairs. If a new property, typically we'll use 75% of gross rent. However the way to go nowadays is DSCR (debt service coverage ratio) where the rent may or may not cover the new PITIA payment on the rental. Our DSCR are priced even lower than full doc, so save yourself the headache of over documentation or being declined for high DTI. Go DSCR.

Post: Urgent: Need advice on choosing DSCR loan option

Craig WarnerPosted
  • Lender
  • Nationwide Lender / NMLS# 129642
  • Posts 78
  • Votes 15
Quote from @Bans Sharma:

Hello,

I am in the process of purchasing a property for $1.17M and plan to put 25% down with a DSCR loan. My lender said it would be best to go with DSCR instead of conventional loan. My goal would be to either refinance(if the rates drop) or to pay off the loan within 7 to 15 years. I have these quotes, what option should I go with?

Scenario 1: 5/1 ARM

  • Rate: 5.675%
  • Monthly Payment: $5100
  • Prepayment Penalty: 3/2/1
  • Closing Cost:
    • Broker Fees: $11,016 (1.25%)
    • Lender Fees: ~$2,000
    • Loan Fees: $600
    • Plus standard title and other fees

Scenario 2: 30 year fixed

  • Rate: 7.375%
  • Monthly Payment: $6086
  • Prepayment Penalty: 5/4/3/2/1
  • Closing Cost:
    • Broker Fees: $11,016 (1.25%)
    • Lender Fees: ~$2,000
    • Loan Fees: $0
    • Plus standard title and other fees

5/1 ARM looks attractive but not sure if that's what other people opt for that for a STR property? Which of these options do you think is most suitable, also is there room to negotiate?

Thanks!


Hello, I just joined this site, however I've been in this business for three decades....not sure that is a good thing. :) We are very competitive our products. 780 score ,25% down DSCR rates 6.875%, 30/30 Interest Only, $5027 IO, if 5 year prepay, No points. Lower on a 7/1 ARM. We are a direct lender. Let me know if you want to connect.