All Forum Posts by: Jason Luongo

Feel free to shoot them my way Raymond!

Looking to speak to some lenders in regards to refinancing a new construction duplex once it is finished being built. Contract price 265k, Appraisal at 305k. I own the lot free and clear. Any contacts or referrals are greatly appreciated! This is an investment property, not owner occupied. 

Will do Alex, thank you for some of the points you brought up. I love this type of investing, because I know exactly how much its going to appraise for. Also, its much easier to rent a brand new home! If anyone else has any experience on these investment refi's, I would love to get some more feedback or referrals to anyone that has done some higher LTV refinances.

I have been hearing many of the same opinions you just gave. He isn't a commercial lender though as far as I'm aware. He said he just done an investment property (not owner occupied) at 6% or less. The building will be complete in 4-6 months. We just agreed on the terms of the contract. I own the lot, so that might count towards the seasoning period, but both lenders I have spoke with said I will have no problem refi as soon as it is built. The builder has done over 10 of them in the last couple months. My main concern is getting the highest LTV so I can move onto the next property as quickly as possible.

Hey BP Folks!,

So I just signed a contract to build a duplex in SW Florida. Purchase price will be $265,000. Instead of getting a short term loan, the builder is financing it themselves (this cost has been built into the price). They have done a few of these in the same area, and they have all appraised between $300k - $305k. So theres a nice chunk of built in equity. I own the lot FREE and CLEAR. I paid $13,500 for it.

I am looking to refinance and get as much cash out as possible once construction is complete. I have spoke to one lender that said they do 85% LTV refi's pretty often. I would just like to talk to as many lenders as possible to get best idea of where I stand.

Please send me any contacts you might know, that do 85-90% LTV refis on investment properties (multi-family).

P.S. I have excellent credit >750 show good income and the property will cash flow GREAT!

I currently own one property in Jacksonville. It provides great returns. Right now im closing on a duplex in SW Florida, Charlotte County. As a newbie (like me), I would recommend staying away from the larger markets. I live in Palm Beach County, but I would never dream of investing here. Anything I can afford, is a WAR ZONE.

Some areas I would check out are Jacksonville (specifically North Jax) and the west coast of Florida (Tampa, Port Charlotte, Fort Meyers etc.) Heres a few data points I like to research before selecting an area to invest in.

• Less than 15% poverty

• Higher than national average population growth

• Low crime area

• Not in a flood zone

Best of Luck! Feel free to contact me if you have any more questions.

There is no reason you couldn't get a conventional mortgage. Keep shopping around and stay away from adjustable rate. Rates are RISING.

Hey BP Family!,

So I recently purchased a lot in SW Florida that is zoned for multi-family. I already have a sales contract signed with a builder to build a duplex. The cost to build the duplex will be 255k. However they have been appraising for 300k - 310k. So when I refinance out of a short term loan, there will be a nice chunk of built in equity. I am looking for recommendations for some short term financing. I have EXCELLENT credit (almost 800) and am a business owner that showing a nice income on my tax returns. Does someone have any recommendations for lines of credit, new construction loans, or private/hard money lenders. This duplex is a great deal for because of the built in equity and rental rates in the area. Thanks in advance.

I keep saying im going to attend this meet-up and I am never able to make it. But this Saturday should be the day! lol. Look forward to meeting awesome people.

@Jordan Christensen

Like the previous replies, most investors utalize an LLC structure mainly for asset protection purposes. I have always been told you want to avoid s/c corps for holding real estate investments.

FHA loans can be a great product to help you get into a property with low money down. They have their advantages and dis-advantages. Two things I like to point out to my friends/family is that

1. You must live in the property for at least 1 year (house hack)
2. You will be paying PMI when you put only 3.5% down

However, you should not let these things scare you away, because a great deal should be acted upon, and if 3.5% is all you have to put down, taking action on the property might still be the best choice! Especially if you can house hack and live free or extremely discounted. Best of luck!