All Forum Posts by: Pat Leri

Thanks Zachary. Yes you are right. Real estate is a up and down game over the years, to let the already appreciated unit to so quickly would not be vise. 

Need some real estate fellow feedback on a 100% investment condo:

I made a downpayment on a condo in downtown Sarasota 2 years ago (2022). It was going to be a new build. They are ready now with the CO's.

But the market has shifted ever since. The value of the condo went up (that's good), but the rental situation in Sarasota went down.

Long story short, I can hardly make the mortgage with the forecasted rental income for a midterm. (my mortgage will be around 8%)

The unit has a min. 3 months rental as per HOA, which is still with the developers on the board.

At this point, I see only 3 options

1) assign the contract to someone else, meaning sell the apartment (but I will need approval from the developer)

2) talk to the developer and ask for a minimum one-week rental (Min City Regulation) at least for the 1st year to get over the bad time.

3) to just go ahead and purchase the apartment and suck up any loss I might make and try to get in refinanced as soon as possible with a lower interest rate.

What are your thoughts? Any other way I can take it?

Quote from @Austin Clarence:

I highly recommend reaching out to a mortgage broker, licensed for FL. DSCR is a specialty loan and you can see massive spreads in pricing (Much more than a traditional conventional loan). IF you go straight to one or 2 lenders you are rolling the dice. (I am not licensed for FL, but you could try the Find a Lender option on BP)

 It’s not so easy to find a broker. They are all direct lenders. Even with a google search I could not find a broker.

Anyone out there knows a DSCR broker licensed in Florida?

Quote from @William Naber:

@Pat Leri I can help you out. Our rates this week are 6.875%.

 Please sent me your contacts

Quote from @Chuck Ward:

I just spoke with Jason Park, he's on here - Coastal Capital Funding. Check them out.....https://coastalcapitalfunding.com/

 Thanks. Will Check it out

 It’s mid term furnished. Minimum 3 month.

Understood and agree, can you recommend me one? Are you?

Looking for recommendations of DSCR loan companies you worked with.

I have Beeline and Visio so far. What more are out there you had experience with?

info: Condo, Florida, LTV 70%, expected DSCR 1.2

But what about the appraisal? If I make a cash offer with POF and end up lending the money, the lender will come and make an appraisal (or are there lenders which don't make appraisals). If the appraisal comes out low, I will end up paying for the difference.

An example: I offered 600K in cash (with POF) and the appraiser appraises it for 500K. I will need to pay 600K, but the lender gives me only 500K. So I need to pay 100K out of pocket.

Am I right?

Quote from @Patrick Knapp:

@Katie Dortch what group are you part off? I’m a licensed general contractor and investor so I have experience with a lot of construction side that most are inexperienced with.

I would think a topic around construction would be perfect. I would be interested in how to estimate Reno or new construction at time of making an offer? How to find contractors in an oversaturated market?