The IO payments on that are $3,333 a month.I guarantee you will need to hold it at least six months to do a refi and a year isn't out of the question.

Joel-If you're in CA, hard money rates (at least the companies I deal with) are more like 1-2 pts origination (regardless of loan amount) and 9-10% I/O, 12-24 month term, up to 60% LTV (of purcahse, not ARV)Don't know why there is such a discrepancy, but I certainly find it interesting.

i think i can get a true private lender at 8-10 %, IO 2-3yr contract. i want to get the house to rent for cashflow. if i can capture 35 % equity and a positive cashflow, are there any actualy lenders that will look at cashflow and equity and not my income, debt to credit ratio, credit score, when it comes to refinancing to a conventional 30 yr fixed.

Sticher on both IOS and Android has a listen-to later option and will save that onto your phone. it deletes them after you have listened to them.Cheers,Tristan Michael Chicklowski 

Originally I planned to go 80/10/10 with the seller financing to be I/O over an agreed upon term.  7 years does seem to provide enough time for appreciation and a possible refi.  

Thanks Jeff S NaMy borrower emailed this morning stating they will take the funds on my terms:) 12% plus 4 points 2 years I/O no prepay.

A Cash Flow ARM is a alias for an Option ARM (nothing new about the phrase---World Savings coined it many moons ago).An option ARM is a loan program that allows for deferred interest/negative amortization (deferred interest happens when you your mortgage payment is less then the interest owed---the difference between payment and I/O payment is what is "deferred" and added to your mortgage balance).

think i forgot to say the owner is IO and this is all speculative of course.

We obtain a 75% LTV bridge loan on a non-performing assets with IO payment for anywhere between 1.5-3 years while we're stabilizing the assets.

Most everything I see has a 30 year am and some I/O.