I've heard that smaller lending institutions, such as local Savings & Loans or Mutual Savings Banks, often offer the most competitive mortgage rates.

Listed: 59,000Comps: 75-120kProj ARV: 105,000Proj rehab: 20,000Max offer: 53,500Total invested: 73,500Proj profit: 31,500https://www.redfin.com/IL/Dixon/701-Institute-Blvd-61021/home/63165982How far off was I?

Large institutional money ie  Blackstone and others also tended to follow those same trends making it harder for smaller investors.  

They are hands-off, institutional grade real estate investments, and they allow you the option to diversify.

Hi, @Simen Gundersen.I know a local financial institution that would be willing to look at financing investment property for you.  

If you plan to finance the purchase and use some of their funds as a down payment, the requirements of the financial institution will determine what can/can't be used as source of funds.

It will be market specific of course, and I have no idea about the National CRE market or a macro effect in institutional investing, that’s just my insight from my local market for what it’s worth.

How can a small fish like us compete with institutional investors like Redfin who are flushed with cash?

The ideal contractor puts out quality work and gets enough volume usually from multiple investor clients (oftentimes institutional clients) that they don't charge as much.

Lending has changed drastically over the last 6 years with institutions jumping in.