All Forum Posts by: Miranda Holland

Quote from @Sarah Crowley:

I’m looking to buy two recovery homes but only want to put 10% down on each is this possible to find something like this?

Hi Sara, I saw your post on BiggerPockets about purchasing recovery homes with 10% down. Depending on the deal, there are ways to structure financing creatively, such as seller carrybacks or a second lien investor.  I'll DM you

Quote from @Robert Jones:

I jus went the rounds with a loan company that maybe I should not of.  They asked me for my tax return but never looked at the s corp where all my income is.  Told me that I could not get a loan because I lost money.  Well I did lose money on paper with the llc but if they would of looked further they would of seen income of over 200k that I paid taxes on.  This was just red flag number 3.  I have great credit.  I have income from investments, income form 2 business but not much in w2 income.  So, my simple question is for a recommendation for a company that works with investors and business owners and knows to look at all the tax returns not just one of them. Thanks!

 Many traditional lenders struggle with self-employed borrowers, especially when tax returns show losses on paper. However, there’s an entire industry dedicated to financing real estate investors and business owners without relying on W-2 income

If your business is outside of real estate, there are bank statement loans or asset-based loans that consider your overall financial picture rather than just W-2 income.

Quote from @AJ P.:

Hello, I have a property I purchased with cash and renovated and am now looking to refinance. I have spoken with my bank and feel as though there are better avenues than getting a mortgage with them. If anyone has any suggestions or advice, that would be greatly appreciated. Thank you!

You’re right to explore other options! Typically, refinancing with private lending is much easier and more flexible than going through institutional banks. Private lenders generally have fewer restrictions, a faster process, and can structure loans based on the property’s value rather than just personal income.

Quote from @Taylor J.:

I have a deal in a luxury market where I am looking to renovate a 5,000+ sqft house that is a bit outdated. I think I can buy it at a great price to make my margins work.

I have never used hard money, but this deal requires more cash than I would like to tie down (2mil). I am looking to use hard money for the purchase and my personal money for the reno.

Will hard money lenders lend on something of this size? Any recommendations are appreciated.

Every lender has their own lending criteria, but yes, hard money lenders will typically fund projects of this size. Most will cover up to 100% of the renovation costs and 70-90% of the purchase price, depending on factors like the type of property itself, your experience, credit position, and the lender’s specific guidelines. 

Quote from @Mike Douglas:

Hey all,

I’m looking ideas for finding a direct lender to fund a ground-up, non-owner-occupied SFR project. My client has strong FICO & liquidity, but the challenge is transitioning from fix & flip to new construction—no prior ground-up experience.

Any recommendations on lenders who work with first-time builders in this situation? Appreciate any insights!

 Hi Mike,

I’ve helped borrowers get approved for their first ground-up construction projects before. Since your client has strong credit and liquidity, they’re already halfway there!

The key now is:
An experienced contractor with a solid track record and a well-prepared Scope of Work.

Permits in hand—many lenders won’t seriously consider the deal until permits are pulled.

Lenders have become more strict about not reviewing ground-up loans until the project is shovel-ready since so many deals fall apart during the permitting stage.

If you’d like any guidance on structuring the deal or finding a lender who works with first-time builders, feel free to reach out—I’d be happy to help!

Don't hesitate reach out to me if you need some help with this.

Quote from @Jose Leal:

Hi everyone, 

I am currently working as a construction manager with a spec home builder in Texas. Ive been asked numerous times by folks if I could act as their GC for build-to-rent/build-to-sell properties.

- How would this work from a lending perspective?

- Would we be able to get funding just based on my resume?

- If a partner needed to be brought in, how many JV projects would I need to be "involved" in to show a track record?

Any information would be welcomed! 

Lenders typically require a resume for the GC involved in the borrower's project to assess their qualifications.

When it comes to a GC getting funding for their own projects, while some lenders will take your experience as a GC or builder into consideration, most primarily look at your track record as a borrower on title when determining approval and pricing.

That said, if a lender deems your experience sufficient, they may allow you to act as the primary GC on your own project instead of requiring you to hire a more experienced GC. 

If you're looking for funding, it’s worth exploring lenders that are flexible with builder experience requirements. 

Quote from @Sam Chan:

I purchased the investment property in May and was told that I have to wait 6 payments before I can refinance. Why do I have to wait if I am only doing a rate and term refinancing.

Hi Sam,
What you're encountering is called a "seasoning period." Most lenders have a 6-month seasoning period before they allow a refinance, even for a rate and term. However, not all lenders require this. There are lenders out there with no seasoning requirements, so you could potentially refinance sooner.

Quote from @Samantha Zanotelli:

Is there anybody offering 10% down on Jumbo Loans in Southern California..

I was told that this isn't possible right now and that given the current market most people want to see 12 months of reserves. Was curious what others have to provide for information on this and if they have seen 10% down on jumbo loans for a first time home buyer.

 You’re right—commercial lenders are tightening up their guidelines, and it’s becoming harder to find 10% down on jumbo loans, especially with the current market conditions.  I'm sending you a connection request. 

Quote from @Jephte Augustin:

I have a question

I have property I just acquired and renovated with a Fannie Mae loan. I’m looking to cash out refi, but I have to wait 12 months of seasoning before I can do that.

Does that seasoning period apply if I cash out refi into a DSCR loan?

I can see a scenario where I take on the risk of a high interest rate and less flexible terms for 5 years, so I can access my cash sooner if that option is there.

 

Hi Jephte,

The seasoning period can vary depending on the lender. While most private lenders typically have seasoning requirements ranging from 6 months to a year for refinancing, even with a DSCR loan, there are some lenders who don't have any seasoning requirements at all.

It’s definitely worth exploring your options if you’re looking to access your cash sooner. Feel free to reach out if you have any other questions or need more information!

Quote from @Erik Jenkins:

I am in need of 80K to close on property in 30 days, vacant land. Land is in New York. Have good credit, 2 previous lenders who will vouch for me and can buy but trying to avoid tax hit for selling liquid assets. Would prefer longer term loan 60 months or so but can do short term also ie 12-24 months. Thanks

 Hi Erik,

There are several private lending products available that can help with the purchase of vacant land, depending on your situation. Here’s a brief breakdown of a few options:     

Land Loans: These loans are specifically designed for purchasing raw, undeveloped land. They typically require a larger down payment and may have shorter terms, but they can be a good option if your goal is to hold the land for future use or development.

Subdivision Loans: If you plan to divide the land into smaller lots for resale or development, a subdivision loan could be the right choice. These loans cover the costs associated with preparing the land for subdivision, such as grading, infrastructure, and legal fees.

Ground-Up Construction Loans: If you plan to build on the land, a ground-up construction loan might be ideal. These loans typically cover both the cost of the land and the construction. They can offer more flexibility and longer terms, making them suitable for a variety of projects.

The best option will depend on your specific needs and plans for the property. I’d be happy to discuss these options further if you’d like to explore what might work best for you.