All Forum Posts by: Brian Garrett

@Brian Garrett

There are no income verification products out there for people in your situation.

They do not reflect conventional rates or fees, but they are out there and they close in 30 days if you get your conditions in and the appraiser acts right.

Stephanie

@Brian Garrett  all you have to do is fog a mirror for a car loan.. Real estate is totally different and if its the biggest bank then they don't hold the paper your best off starting to look small bank and or credit union.

Brian Garrett I'm actually talking buy and hold. Faced with the decision to buy a bunch of less than $100,000 properties in Ohio (for example) that may cash flow $300-800 per month versus a $300,000 property in an appreciating market like Portland, that only cash flows $100-200 per month, I chase the Portland property because in 30 years the value will likely exceed the cumulative cash flow over the year .

@Brian Garrett There are two main risks associated with flipping:

1. The flipper over estimates the ARV or the market changes from the time of the purchase to the time of selling the property.
2. The flipper under estimates the rehab costs or how long the rehab takes.

Stay Blessed!

@Brian Garrett

We paid cash for our first, bought two months ago and listed for rent today. Trying to decide to pursue a second (initial plan) but there have been more issues in this long-distance land lording than we anticipated (we'd considered this for a few years; just a lot of unexpected happened), so husband wants to invest in bonds as he's started reading up on investing.

Hi @Yossi F. a fellow New Yorker! 

It depends who you're going to for financing. Usually on purchase money it's 25% or 20% down; but to confirm, we're talking non-owner occupied investment property-- you wouldn't be able to live in it as your primary or secondary residence. Also some lenders put restrictions that you can't have family in it either, as it would tend then to be seen as a consumer loan/consumer purpose.

There's definitely a regular way. Non-bank lenders, can offer this, the interest rates are little higher, but the good thing is the process is much less of a hassle and straightforward. Usually you close much quicker. And, personal income check is not required, the loan is underwritten to the underlying property's rental income. 

Let me know if I can help. Feel free to message/call.

@Brian Garrett  plus if this is your first attempt to get a loan from them and you have zero income on your tax returns then I would say no hope at all.

@Brian Garrett  if its a small community bank with say 200 to 300 million.. and you have 500 to 1 million in cash in the bank then yes.

if its a big bank or regional multi billion dollar bank and you have 100k with them.. then no.

A community bank on a non owner occ if they want to set up a facility for you would do 5 year amortized over 20 70 to 75% LTV on THEIR appraisal.

fee is usually 1 point and 5.5 to 6.5%  that's what I get on my turn and burn stuff and my construction loans ..

if your looking to match the lowest rates you see from national banks which is just a tad under 5% these days and 30 year am..   NOPE only those institutions have those loans as they are all sold .

the loans above are held in the banks portfolio.. but each region is different I am really  only familiar with my banks in Oregon and my bank in Charelston SC.