You can earn honorable discounts and fees overtime by establishing mutually beneficial partnerships with one lender or broker but squeezing them dry for a lot of hard work and not equal pay isn't something I recommend making a strategy

Nieto1- no2- most of Southern California, and east coast major financial / political cities - NYC, Boston, DCThese markets have always been good as they have high incomes and are desirable places to live.

Many investors use a general rule of thumb for midterm rentals that they should earn about 50% more in rents than an equivalent long-term rental (whereas short-term rentals should earn double or 100% more than if the property was utilized as a long-term rental).However, for DSCR lenders, change can be slow and challenging, and many lenders prefer and require more precise qualification measures than rules of thumb.

You'll be better served by just setting cash aside earning 5% and looking to refinance later on.

I’ll bear the frustration for the former, knowing it is venting/frustration earned from years past, and I’ll consider feedback on the latter as actionable to inform present-day decision-making.

Below are some general notes on DSCR loans:* usually used for single family or 2-8 multi family unit properties (fits your scenario)* must be for investment, non owner occupied (if looking for a product for alternative qualifying solutions for owner occupied there are other products)* can close in a personal name or LLC* usually 80% LTV for a purchase (20% down payment) & usually 75-80% LTV for cash out refis* prepayment penalties vary and are optional, but the higher the prepayment penalty, the lower the rate / options typical range from no prepay all the way up to 5 year prepay and structures vary for how those penalties work (3 year is my most popular by far)* appraisal most likely required and paid out of pocket during transaction* can be used for long term, mid term, or short term rental properties * generally 1%+ is the desired DSCR ratio but you get better rates if the ratio is higher (usually rate breaks kick in at 1.15%+ or 1.25%+) and you can still get the loan done if ratio is lower than 1% but the rate will reflect that (DM me if you wand help learning how to calculate the ratio)* the average time to close is 21-30 days* fees vary lender to lender and product to product, but $1595 underwriting plus title fees is pretty standard* 700+ credit is preferred to get max LTV, but plenty of options if credit falls below that* a typical loan minimum is $75k (have limited options for $50k+) and typical loan maximum is $3-4m (have limited options for $4m+)* 3 months reserves usually required, having 6+ months will usually result in better loan terms, 0 reserves can still get the job done if you go with a program that allows you to use the cash flow as reserves* 30 year fixed, IO, and ARMS available

If it is in a highly desirable STR area (the beaches, Riverside etc) it may be beneficial to sell it furnished.

Investors want you to earn an income if you are the GC as long as it’s market rates.One structure for land purchase the investors put up all the money for land and house, you do all the work including management and you split all the profits from monthly cashflow 50/50.

If Interest Only ARM, then your cash flows would be higher but your principal would remain the same and may be less desirable given that you would be looking to pay if off in full between 7 and 15 years.Cheers!

.#8 Pocono Farms - TobyhannaPocono Farms earns the number 8 ranking position due to the quality and feel of the HOA and community amenities.