All Forum Posts by: Shaun Weekes

Shaun, I tried that, and all it did was come up with the delayed financing rule which has been around a few years. Couldn't find any new news on it. It's my understanding that 5-10 can either be just a purchase loan or meet the delayed financing rules, which I believe were instituted back in 2010 or 2011 to help people feel better about buying foreclosures for cash knowing they could get a large portion of their money back out within 6 months. Either way, it's very difficult in many areas to find lenders willing to actually do the paperwork required for loans 5-10, even if you're extremely qualified, so if I needed the cash back out of an investment property, I'd find the lender willing to do the loan with the delayed financing rule before I purchased the home for cash.

The only new news I can find is the end of Homepath financing, which is sad as it was a much better down payment on investment homes than regular conventional.

There are lenders that do these types of loans and there really isn't any new news in regards to delayed financing unfortunately.

I agreed with what you're saying as well and it is hard to find lenders that do these loans and it's also hard to find quality LO's that know how to structure these loans as well.

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@Lynn McGeein

I meant to say google delayed finacing :)

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@Kristin Whitfield

You are absolutely correct. Remember that delayed financing kicks in on your 5th mortgage so you'll need a 720 fico, LTV depends on the what type of property you have. Google delayed financing and that will help you understand better as there will be a chart there for you.

@Jeffrey Moore

It's 10 loans not addresses

@Lynn McGeein

Good Delayed financing and that should work for you.

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Originally posted by @Account Closed:

Sorry Shawn- it wasn't meant to be a personal attack. I see you are a loan officer so maybe I should have been a bit more delicate in my comment. The eligibility matrix shows various categories based on LTV and FICO. To say 6 months is not accurate- are we looking at the same matrix? If for instance, the borrower was going up to 45 percent DTI and they were between 680-700 FICO and >75LTV wouldn't the required reserves be 12 months PITI according to the matrix? Just pointing out a one size fits all answer probably wasn't appropriate to describe underwriting requirements without more details.

Mark,

No worries. I'm just saying a MINIMUM of 6 months is required which I didnt specify in my original post. And yes It could go up as high as 12 months depending on the situation.

At least Andrea is getting good feed back from this post and that's what we're all here for :)

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@Account Closed

Did your appraisal come in lower? I'm wondering why the closing costs aren't being rolled into your new loan? The Loan officer should have padded your loan amount to include the fees and an additional 2k max.

Post an update on that and I'll try and figure out a solution that you can suggest to your broker or LO.

I hope this all helps and have a good night everyone.

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Andrea,

If this a conventional loan no gift is allowed under any circumstances period. If it's private money or a HML lender then the rules might be different.

Now if a family member or whoever gives you 10K and it's been sitting in YOUR account for 60 plus days then you're golden.

Remember that you're also going to need to show 6 months of reserves for the each investment home and 2 months for your primary.

I hope this helps and have a great day :)

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Welcome Joel,

I'm originally from Oakville and I have friends that are in waterdown. Small world. This site is great and I'm sure you'll find a lot of good information on here.

Have fun and good luck with all your future Real Estate investing.

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Welcome Tatyana,

This site is really excellent and good luck with everything. Have a great day and take care.

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Welcome Dalenna,

This site is great for investors and people in this industry that want to learn about real estate. I've learned quite a bit and have actually joined up with other professionals to make a team. This is all because of bigger pockets so I look forward to hearing from you and if you. Take care and good luck :)

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Travis,

I personally think it's a great idea to take cash out at a lower rate, turn around and make money with other people's money.

The only thing I would suggest is be careful with arm products. 5 years will creep up on you so fast and if you're not in a position to refinance or sell you could get yourself into a mess assuming rates have gone up by then.

Just make sure you have a solid exit plan and be ready to execute it during the end of year 3 and the start of year 4. This will allow you plenty of time to change it up if something out of your control happens.

Good luck and I hope this helps.

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All Forum Posts by: Shaun Weekes

Shaun Weekes has started 33 posts and replied 1673 times.

Post: Question about the new Fannie Mae Rules up to 10 properties

Post: Question about the new Fannie Mae Rules up to 10 properties

Post: Question about the new Fannie Mae Rules up to 10 properties

Post: Can closing costs be gifted?

Post: Can closing costs be gifted?

Post: Can closing costs be gifted?

Post: Newbie Canadian (hamilton) investor

Post: New Member - Los Gatos, CA

Post: Buy & hold in Phoenix or fix & flip

Post: Refinance: Cash Out or No Cash Out