Greg it will depend on the portfolio of the bank and how many performing versus non - performing assets on the books.The bank might not want to refi that type of product with too much of that type of asset class non-performing on the books already.They might have too much defaulted commercial all together.For value add plays typically occupancy is an issue.The lenders will want certain occupancy levels obtained for at least 3 months depending on loan type and typically stabilized for 6 months to a year or longer.If you buy an apartment building at say 50% occupancy using a hard money lender or private money and the going vacancy rate is an average of 10% then the lender wants 90% occupancy averaged out over time.When you refi you will only be able to go up to a certain percentage to cash out or can just convert with no cash out to the lower interest rate.Regular banks do not lend usually on sub par occupancy levels for the area.They see it as too risky and the say 60% occupancy can quickly go to 30 or 40% and they have a foreclosure or short sale on their hands taking a loss,plus inspection reports,attorney fees,appraisal and environmental review etc.

Most of the big players in this market have large portfolios in many states.

You may have to seek out privtae money lenders (perhaps IRA owners) or perhaps find a local bank whom you will likely need to start doing business with and then request a portfolio loan where you can lump multiple properties into one loan package.Yes, you should be hunting for long term funding now rather than later.

Building up a nice portfolio but feel like I'm being nickel and dimed to death!

Also, I am looking for a credit union that does portfolio lending.

I don't know if that's due to the market leveling out or other investors sucking all the air out of the room, but it actually made me contemplate listing the properties for a flip, but I really want to build a portfolio, not become a rehabber, so I have to fight that urge.I sent you my email via private message here on BP.

In my 30+ years of owning and managing my own portfolio, I can tell you without a doubt that the property management component can and usually will make or break your success as an investor.

Instead they just want to get the pain over with as quickly as possible.You also have to find a bank that is motivated and doesn't want the property (shopped) listed by the seller to fully expose multiple offers and compete with other investors.This is why many people wholesale.They make a few k on a marginal deal and let other investors take the high risk.Then they only buy when they get a really good deal for themselves.I would say "Do not get emotionally attached to this deal and overpay because you wanted to BUY SOMETHING" Instead just treat it as a property and if someone overpays for your goals then move on to the next.Remember it is easy to build a crap portfolio with marginal returns.It is much,much harder to build long term quality properties at a great price that will create generational wealth for the your family.

I have a portfolio lender that does make loans.

I will not pick one way or the other as it does not affect my business model, however, I would agree with Mark in that wages and unemplyment ratios will have a larger affect on rental prices than anything else.That said, regardless of your view, IF you are a landlord, then you should ALWAYS be adding to your portfolio and as such, making adjustments to the market by adjusting how much you pay.