All Forum Posts by: Sean Tippens

@Nikki Closser thanks for sharing.

Specifically, I’m trying to figure out how to create a legitimate business that shows income for the purpose of gaining future lending. We currently have 3 properties; 1 is long term rental, 1 is a fully furnished short term (Airbnb), and the other is in construction and we don’t know if we should make it short or long term. We will be needing funding following the completion of this project, and want to lay the ground work for a business showing income that banks like. We’ve been told by some banks that they don’t consider Airbnb to be a constant income source. With the current covid situation, we can all agree that has been true. However, is there a way to bundle all of this income and put it under a business umbrella to show consistent income? Who could I talk to to get guidance? How should we go about this? Any help would be appreciated!

Specifically, I’m trying to figure out how to create a legitimate business that shows income for the purpose of gaining future lending. We currently have 3 properties; 1 is long term rental, 1 is a fully furnished short term (Airbnb), and the other is in construction and we don’t know if we should make it short or long term. We will be needing funding following the completion of this project, and want to lay the ground work for a business showing income that banks like. We’ve been told by some banks that they don’t consider Airbnb to be a constant income source. With the current covid situation, we can all agree that has been true. However, is there a way to bundle all of this income and put it under a business umbrella to show consistent income? Who could I talk to to get guidance? How should we go about this? Any help would be appreciated!

@Andrew Postell currently we are interested in buy and hold. We have been using our own personal capital thus far. We are needing to start learning the process for getting lenders involved so we can begin to scale. Right now we are in the middle of a project that we have purchased with our own money and own free and clear. We are looking for money for the Reno, approx 35k. At the end of this project we'd love to be able to use the BRRRR strategy and get money back out if it.

After doing some more research, it seems as though I’m being pointed in a direction requiring me to find a loan officer that is t affiliated to any one bank.

How does one go about finding such a loan officer ?

What questions should I ask this person ?

@Tom S. It’s gutted, in need of kitchen bathroom and windows.

@Tom S. You think it will still be a similar situation even though the property is bought and paid for in full? The only thing we need the money for now is the rehab cost.

We are really new to the process of getting loans for our projects. We have used our personal savings up to this point, but need a loan to finish a rehab on our latest property. We initially tried our local credit union, but the max they would lend for their branch was 13k. So I went to our local back for the loan. After processing for a few days, they called back saying that it would need to be referred to a commercial lender. I told them it was for a rehab, but they didn’t ask for any other details. Does this seem right? What should I be asking questions about?

We've gone through a couple of lender options at this point. We have the deed on a property and are looking for 25k for the rehab. Our local credit union, by policy, can only lend 13k unsecured. And our local bank is able to lend 25k for 24mo at 9.5% unsecured. We don't want to use the house as collateral because we are wanting to use it as a BRRRR. We are curious about hard money loans and information related to them? Can payments be interest only, reason being is that if we went with the banks offer our monthly payment would be more than 1k/mo. We have excellent credit. How do we find hard money lenders? Does anyone have any suggestions for us?

We currently have the deed to a property that we need to rehab. The conversation starts with finding the 25k for the Reno. This will be the first time, for us, using another type of funding that isn't our own cash. We talked to our local credit union and the most money they can offer on an unsecured loan is $13k. We don't know if using the property as collateral is wise since we want to use this property as a BRRRR. Would having the property's collateral effect us with the refi later? We also went to our local bank and they can offer the 25k for 24 months at 9.5%. Is this a reasonable offer, what is a good interest rate for this situation? Any suggestions?