All Forum Posts by: Logan Drew

That is not true.  My office just closed a 4-plex with two different street names in the addresses (corner lot).  Do they have a better reason for you than that?

This deal is still in play if anyone wants to take a stab at it.  It's in Jacksonville, Oregon.  Please, no unsecured finance inquiries are wanted... we're only looking for financial instruments backed by real estate, not depository/ asset-backed, unsecured loans.

Hi Gary!

Welcome to BP.  Your experience and insight will be a great asset to this great community.  Please let me know if there is anything that I can help you with.

Hi Jesse:

It's admirable that you would at least ask some professionals before doing something like what you are considering. Stating you will occupy a property would require that you certify in writing to the lender that you plan to live in the dwelling for 12 mos in most cases (any program with 5% down on units is likely an FHA insured loan which requires 12 mos owner occupancy after closing). It would be considered both unethical and mortgage fraud to obtain a property using an owner occupied loan program and then not live in it. HUD/ FHA reserve the right to check for owner occupancy, so don't be fooled by anyone saying you can 'get away with it' or 'they'll never check'. It is best to follow the guidelines and laws and play within the rules. Doing the right thing will come back to you in business. Good luck...

 Hi Brian!  Welcome to BP.  There are certainly some options here if you have cash in the bank.  Most often, it is worth it to share the risk in the project with a private money or hard money lender.  I will PM you with some thoughts on this.  My first reaction is to adhere to a rule that I learned very early on at Katz School of Business - University of Pittsburgh... 'if you can use leverage, then use it'.  In summation, it is always better to use someone else's money to reach your goals... as long as you know the rules and the avoidance of risk is worth the cost to carry the financing.

 Hi Daniel:

B2R is more of a hard money lender.  Portfolio lenders are best located by finding a good, seasoned mortgage broker local to your target market that has wholesale relationships with both large and small, vanilla and niche lenders.  A mortgage broker that has known experience in working with investors is the one that you really want.  Look for some reviews on them and you'll know when you see a worthy candiate.  I know wholesale mortgage banks/ investors like IMPAC, Fremont Bank (not sure if they do outside of CA), and even some quasi-hard money or non-prime lenders like Citadel Servicing or Athas Capital are good sources... but you likely need an approved broker to access their programs.

Please PM me so that I remember to forward you more substantive information about portfolio lenders tomorrow and I can find some that might do retail direct to the borrower for you.  I don't think I can serve you directly in your markets, but I can certainly steer you in the right direction. Happy to help...

There are a ton of portfolio lenders who are not banks and do not have depository requirements.

I agree with Shaun's idea.  If you can pull off a simultaneous payoff from concurrent refis, that will do the trick. 

 Hi Andrea:

Ask your current mortgage broker whether he has any portfolio or jumbo lenders in his list of approved lenders that will allow cross-collateralization.  If his answer is no, then you know that all that broker ever wanted to do was stick you in another hard money loan to buy you a little more time and make a fee.  You may find that some lower rate lenders will do these types of combined deals, but most will not.  If you need a new broker, go local and go reputable, and explain the ENTIRE situation up front.

The issue that remains is neither of those homes can carry $190,000 in debt on its own and no conventional lender will cross-collateralize as far as I know.  It sounds like the broker's plan going in was to give you another hard money deal, but with a better rate.  Does anyone on here know any lender with decent portfolio programs and rates that will perform this deal?  I only know hard money lenders and private lenders who will cross-collateralize.