All Forum Posts by: Kevin Woodard

@Ariele Aaron Eric hit the nail on the head. Keep the cash flow, and avoid a taxable event. 

Congrats on you and your husband’s great position!

@Scott Dalziel you definitely want to shop this one. 75% is generally the maximum you'll get. Some lenders are reducing LTV by 5% if it's a STR. If you can get 75% the UW requirements will likely be more stringent (e.g. higher credit, higher DSCR, more reserves).

Did someone say DSCR?!

Is your plan to move there and make it your primary?

There is a lot of tightening going on in the markets. I would be very surprised but report back if you find it, I’d love to learn more. For an acquisition, I would calculate for 20-25% down. 

I wanted to reverse engineer this a bit, granted I don’t have tax or insurance numbers. But if you’re using income of the property to underwrite this deal, cash flow is the limiting factor. Otherwise, they are looking at the cash flow as the limiting factor and are mitigating risk. Shopping around wouldn’t hurt though to compare options. 

I wanted to reverse engineer this a bit, granted I don’t have tax or insurance numbers. But if you’re using income of the property to underwrite this deal, cash flow is the limiting factor. Otherwise, they are looking at the cash flow as the limiting factor and are mitigating risk. Shopping around wouldn’t hurt though to compare options. 

@Kyle Seidel if you get an loan tailored for investors you can utilize AirDNA projected income to underwrite the loan. When you speak with the loan officer, just confirm they can do this and it should be smooth sailing. You should be targeting a DSCR if you're trying to qualify for the loan based of income of the asset instead of your personal debt to income. Hope this helps.

@Alan Siciliano DSCR stands for debt service coverage ratio. Instead of using personal income DTI to underwrite the loan, you look at the revenue the property generates to the debt it will service (PITI).

If you are looking to do do value add projects (fix&flip / fix&hold) or long term business purpose loans, I may be of assistance. If you are looking for conventional lenders let me know, I am across the border in NY and will reach out to colleagues.