All Forum Posts by: David Zheng

ahhh ok, so I guess you cannot take this "blanket loan" and refinance it into one big conventional loan? 

Hi BP users!

I have a question about refinancing. So right now I'm looking at using a private lender to lend me $330,000 to cover 100% of my costs for 3  Condo units I plan to rent out. The payback method is essentially paying an 8% interest on it for 25 years and at the end of the 25 years I have to pay back the the full principal of $330,000. I want to refinance after a year or two which the lender said is OK. 

my question is....will I be able to get a conventional lender or bank to refinance this $330,000 loan (assuming I have 20-25% in cash to put in as equity) as one 30 year conventional loan? Does it matter that the loan technically covers 3 different units?

Thank you for your help!!

-David

Much appreciate for the info @Todd Plambeck!!

I will definitely go directly to the HOA and see if that is a possibility

I hate that...The two condos in question are small units that would never be enough for even a small family or good enough for most single young professionals especially since it's located in an area with 90% college students...

I guess i'll keep looking..

They can foreclose on a property that they don't have the title to or don't technically own?

So I've been looking at a couple properties but they are in condo associations that only "allow" a certain number of units to be rentals.

How much do they actually care? what can they do if you rent yours out even if they are already at max rental allowance?

Has anyone tried this?

@Alex Tillman Thank you for the tip!!! much appreciated

Need advice on how to find private lenders and creative financing options

A little bit about myself and what I'm looking for:

I've lived in the STL area for basically my whole life (22 years). I have great connections here and basically decided I should use it to buy properties and rent out. Within the last 5 months I've bought 2x 2b1b condos and within a couple days secured year long tenants for each. my rental price is twice my mortgage, taxes, and other fixed costs. I'm still getting requests for rooms but I just don't have anymore capital to purchase more places. Plus since I've just bought these properties and can't count the income, my debt to income ratio is too high for traditional lenders to consider. I've called many local banks but they are being swallowed by the high buying season and many don't take any interest in creative financing options. There are about 2 properties right now that I'm looking at and can expect about the same cashflow but don't have the cash to purchase them.

If there's anyone out there who would know of how I can get other sources of financing please help! Im stuck on what to do but don't want these opportunities to pass

Thanks!

David