All Forum Posts by: Kristen L Garner

Hi Nick! You can get DSCR loan funding as a first-time investor. You will likely incur a 5% LTV hit or slightly higher rate pricing. You can always try to request an exception if you have compensating factors such as high reserves, no mortgage lates, etc.

Hi Stuart! What is the purchase price? Is this DSCR or conventional? If DSCR, what is the rental amount or DSCR ratio?

Hi Sebastian! I also invest in Indianapolis. FHA rates are the best right now if you are able to use that to finance your house hacking. I'd be happy to run some numbers with today's rates for you if you want to DM me your scenario. Best of luck!

Hi Jacob! I'd be happy to connect. Best of luck as you build out your portfolio in Michigan. 

All of those factors are legitimate in PMI rates. However, as lenders we can shop around for the best PMI rates. You could ask your lender if they have shopped this around to secure you the best price. It would be tough to switch lenders and hit your 5/26 deadline. You would need to find someone who accepts transferred appraisals and can get your file into underwriting ASAP to stand a chance. Wishing you luck and a smooth closing!

Hi BP! I'm seeking a contractor to work on a garage --> ADU conversion in Phoenix, AZ. Thank you

Welcome! Happy to chat and bounce ideas around if you want to connect.  Best of luck on your investing journey! 

Hi Greg, As long as the property is in livable condition and the appraisal comes back "as is" rather than "subject to" you will be fine. There are fix and flip, ARV, rehab loans, etc if the property needs work. Otherwise, the main qualifying factors are your reserves, credit score, and the DSCR ratio.

Hi! FHA appraisals and guidelines will be more strict than conventional in regards to condition of the property. The FHA down payment requirement is 3.5% for 1-4 units and conventional is 5% for single family primary, 15% for 2 unit primary residence, 20% for 3-4 unit primary, 15% for single family investment, and 25% for 2-4 unit investment. There are also FHA products that include rehab funds!

Glad this helps! The 6 months reserves are based on the subject property's total monthly payment. Ex: If the property you are buying or refinancing has a total principal, interest, insurance, taxes, and HOA monthly payment of $1,000 ~ You would need to show $6,000 in any combination of accounts. Reserves vary slightly from lender to lender and product to product, but most will require a 6 month reserve minimum, plus 2 months for other properties owned, but capped at 12 months. So if you owned one other property you would need 8 months ($8,000 per the example we are using) And if you owned 20 properties you would need the capped 12 month amount ($12,000 per the example we are using).