DSCR loans don't require personal income verification or a debt-to-income ratio, making them ideal for properties with strong cash flow, even if the current owner has credit issues.Here's how it could work:You could use a DSCR loan to refinance the hard money loan, securing more favorable terms without having to involve the seller's credit.Since the rental income easily covers the property’s debt service, you’ll be in a good position for lender approval, bypassing the conventional mortgage route.This approach could allow the owner to stay in the house, while you take over financing with a less restrictive structure.

My idea is to refinance after the rehab, use the proceeds to build the second house, and repeat the process until all seven homes are completed.

**Financing and Mortgage:**If there are existing mortgages on the individual condo units, you'll need to refinance or partially release these mortgages.

.- **Cash-Out Refinance**: You can refinance each property to pull out cash, but this involves new loan terms and closing costs for each property.### Steps to Take- **Research Lenders**: Look for lenders that specialize in real estate investors and offer portfolio loans or multiple HELOCs.

I guess we would need to know when it matures, but since its you paying off the debt vs. him selling the loan, I would be happy with $100k discount, refinance at todays rates and then refinance again later if rates dip further.

Just a short list its like 50 ways to leave your lover there are 50 gothcas in sub to. 1. the easiest for everyone to understand the sub to violated the Alienation clause in the mortgage or deed of trust and holder of the mortgage DT / Note decides to call the note due and payable and starts a foreclosure. 2. foreclosure started and the person who bought sub to has no means to pay it off or refinance it and the original sellers credit get trashed and if its a deficiency judgement state even on an owner occ like Texas lender sues original seller for the deficiency. 3. this kind of investing or acquiring assets tends to attract those with limited resources so they have no ability to fix things they decide to scale up and then it goes out of control and sellers are really harmed4. deal goes south and original seller sues or files complaint with AG. 5.

I'm sure we could refine your model even more but that's what I saw after looking at your model for two seconds.

When it makes sense to refinance in the future, we'll take advantage of that.2.Attractive Investor Returns: With an 80/20 LP/GP split for cash flow and upside, we’ve projected a 12-16% IRR over a 5-10 year hold period.

We provide financing for the purchase and rehab loan, and the refinance once rehab is complete.

The HELOC is a great tool when you are doing a large remodel, flip, or BRRRR, and plan to refinance to repay the HELOC.