All Forum Posts by: Jared Rine

@Tariq B...going to chime in here. There are too many factors to consider to just provide base rates for what you're asking. Long term $ can range from 6's-10% range depending on all types of factors - LTV, location, unit count, debt coverage, borrower strength, full doc or lite doc programs, etc.. Reach out if you need. Thanks,

@Paige Corsello...You could call your bank contacts and find out if they are broker friendly. That's probably what I'd do first unless you just have no experience doing these deals at all.  Is your client building to rent, or build to sell?  20 townhomes sounds like it would be sales, but I don't like to assume.  The construction aspect of it, which many banks have swayed away from is the main piece you're going to be looking to find. I might be able to help, but what's the reason your builder is looking to refinance?  If he has a $5MM loan in place, what was that used for / is it coming due/ was it short term/ etc.? (key piece of the story) And where are you/the property located?

@Daniel Hartz...it would have been easier for suggestions if you have posted the address so some of us could see if there's more equity than what is being stated. That being said, there won't be any down payment required since you have equity (you're guessing ~55,000 but I wasn't sure if you were meaning the property is ballpark worth ~$175,000, or more than that). If that's the case, you should be able to rate/term refinance at ~75% LTV with a DSCR loan, and with some interest-only basis, your payment will go to ~$850 (based on ROUGH pricing TODAY). Assuming property taxes + insurance added don't go above $1,100 total, you could maybe make this work.

I'm a broker and would tell you to listen to @Jay Hinrichs 

@Dan Bosak...is there no one in your area that can refer you to someone?  What do these deals look like?  As a mortgage broker in CA, I've worked with Easy Street over the last few years and they have their certain box they are competitive in, but overall, they're okay.  They're typically never my first choice these days, unless it's a specific deal type.  I have no idea who the others you listed as I've never heard of them.  I'd be interested to hear more. 

@Mike H. Listen to @Henry Clark  If I were doing anything self-storage, he'd be my first call. 

@Mostafa Koperly..I would agree at face value with @Robin Simon and your alluding to contact banks/CU's, but I can tell you credit markets for construction are tight.  I'm not saying you won't find it, but I wouldn't necessarily be expecting a lot. Just my $0.02

@David Gorman..I'm in Northern CA, but have experience placing construction loans all over the state. A lot more details needed.  How much are you looking for?  What's rehab cost? Are you looking to use the property as collateral?  Is it currently rented?  is this part of TI?  What's current value?  Is there other rehab being done?  What type of mixed-use?  Sounds like has restaurant portion...How much do you owe on the building?  Completion value?  Do you have a tenant ready for this portion of the property? Too many details needed to give suggestions at this point.  Please feel free to reach out.

@Jason Smith..I'd recommend talking to me if you were in CA. You need a solid mortgage broker, not a bank. Plus it's hard to say without seeing your full debt load, but even if they are giving you 75% of each property to offset PITI for each property (if they're not on your Tax Returns), they still might not be calculating things correctly from what it sounds like. I do this stuff all day long, but you have great responses in this thread from very credible people on here. I don't know all of them but have been on BP long enough that if I were you, I'd talk to at least @Jay Hurst and @Devin Peterson

You could also bypass all Tax Return programs and go NonQM of some sort, such as a bank statement or other type, but you'd still have factor in your rentals. 

@John Patrick Lasher..you have some good responses here but I figured I'd throw mine into the net.  I don't know if you're trying to do this all with the same lender, but if you're taking up a majority of the office buildings, SBA could be an option which would allow you potentially less down and you can get away with some seller carry (not all lenders allow and/or structure this but some do)...and/or you could potentially wrap in more collateral (like that other property) which some will do (Again not all SBA lenders are the same; some get way more creative than others).  If you could do this and the multifamily property can stand on it's own, you might have enough equity free to get that one done too, depending on the financing possibilities available and how flexible you can be with terms.  Without seeing more details, it's tough to go into the weeds.  Feel free to reach out.  Thanks,