All Forum Posts by: David Bilandzija

@Rich Emery If you plan to sell early, consider a 12 to 24 mo bridge loan.  

Highlights:

* no prepay on 12 mo bridge

* 6 months guaranteed interest on a 24 month bridge

These are interest only loans and the DSCR calculation isn't a factor in the lending decision.

Compare the cost of your lower interest rate DSCR loan, including PPP versus what the bridge would cost at a higher interest rate and no or minimal PPP.

PPP=pre payment penalty :)

@Dani Beit-Or Yes, nationwide/Wall Street backed lenders offer HELOCs on investment properties. Expect rates to be higher with CLTV capped at 70%. Closed-end seconds offer similar leverage.

Hello Becky, this is doable.  Options are limited but I have a source that can help with permanent financing, i.e. 30 yr fixed, interest only 30 year term.

Since you have several properties, consider packaging them together in a portfolio loan.  Generally speaking, you'll only be able to blanket properties within the same state but its a great option and rates and terms are very competitive with 30 year fixed financing available.  

@James Daley You'll need some 'skin in the game' on a deal like this. I wouldn't focus to narrowly on the possibility of 100% LTV/LTC given your experience level. Go in with the mindset that a down payment will be needed for the acquisition.

Take advantage of the next best thing... Investors in your position can perform a fast rehab and in as little as 90 days refinance out of the interest only fix and flip loan and into a DSCR loan, 30 yr fixed product in the 7-8% range - cash out is available up to 75% of the appraised value at the 90 day mark.

@Mark Walker I honestly think you would be better off doing 5 individual loans.  Keep your flexibility by not encumbering them together.  Also,  when I handle a "multipack" of files the borrower receives a discount on total fees.  Shoot me a DM if you have any additional questions.  

@Mark Walker Another thing to be mindful of, and this is of course assuming that your properties are in Alabama. Portfolio loans generally have higher minimum loan amounts. I work with several nationwide wholesale lenders that offer these loan programs but as the previous poster pointed out, they come with different features and restrictions. I do have a source that will consider loan amounts as low $100k with a minimum asset value of $50k per property. Its also a no ratio DSCR program. I'm happy to share additional information or answer any questions.

@Victor Nguyen Try attending local real estate meetups.  The chances are high you will meet other house flippers that can offer insight.  Lean on their experience.  

@Wayne Doucet Absolutely. Condos are eligible properties for DSCR programs. You'll want to find out in advance if the property is a warrantable or non-warrantable.

@Miranda Yanez Are you seeking an equity partner for your projects or a capital source for new financing?