Just because you get a loan approval does not always mean you should move forward with it.

She finally agreed that it could work. 

Contrary to most business lending, the REI industry has a lot of "non-bank" lenders that provide attractive loans that can lower your cost of capital and improve your profit/cash flow. 

So they often will reduce the leverage of the loan (getting 65% instead of 75%) or deny it (which isn't as likely). 

If you can find someone to loan you money for this endeavor please share their information with us all.

Are you aware that rents on MF units count toward income for loan qualifications. 

I’ve been working with several lenders for DSCR loans, but I’ve found that the fees are quite high, with minimal benefit in terms of lowering my current interest rate.

On the other hand, if you're aiming for long-term rental properties, getting prequalified with a lender specializing in traditional loans or DSCR (Debt Service Coverage Ratio) loans is key.

For instance if this is a $10M portfolio that's levered with loans totaling $9.1M, there's no equity that can be pulled but if this is a $1M portfolio with $100K of debt, its a different story.

I just re-read and realized you're talking about getting loans for lien position 2, is that correct?