A private lender is happy to make 9-12% for as long as they can whereas most hard money lenders have a balloon payment in 12-18 months so they can re-deploy the money and charge points again.That said, you may want to put together a loan package and see about finding a doctor, lawyer, banker, etc. who is interested in lending their money.

Many times at small community banks you can go sit with the banker that is making the decision on the loan.

Keep those extra fees in mind as they will add up.As a mortgage banker, I'll tell you it's easier to refinance a traditional investment property (NOO or Non-Owner Occupied) with at least 50% equity. 75% is doable, but at 50%, restrictions and guidelines become more favorable.

This will give the banker everything they need to make a decision, shows that you have done your homework, but also reconfirms to you that this is a good deal to move forward with.

now notes can go bad but I have been buying notes since the mid 80's and have some pretty good experience at it and am a NMLS licensed mortgage banker that does HML or will be doing it in ORegon starting next week... so its what I know and am comfortable with. 

After spending two decades in advertising, public relations and corporate communications (agencies and in-house for clients in more than 100 industiries), I taught middle school gifted students for 10 years, and am now pursuing a long-time dream: being a REALTOR (Coldwell Banker) and real estate investor.Formal education: --B.

I also thought I'd talk to my banker and see if he had any suggestions for me in terms of financing this deal.The seller didn't give me any idea of what kind of price or terms he would consider.He did give me a print out of the addresses, number of bedrooms, if the house had a garage, county assessed value, annual taxes, and the monthly rent for each property.How do I approach this deal and what kind of due diligence do I perform?

We have used a few different agents, and think she's the best.Minh-Tam Nguyen, Broker Associate, REALTOR®Coldwell Banker Vanguard Realty(904) [email protected]

Talking to bankers, agents, and everyone else you deal with with a positive and humble attitude with go a long way.In fact the banks screwed more people with their too-loose lending guidelines than with reasonable guidelines.Subject to has been suggested, and that might be an option for you.Another might be to use hard money to rehab and the refi.Another might be to use owner financing.Almost every bank is going to require a significant down payment and some amount of reserves.

I specialize in close relationships with bankers and securing deals before they hit the market.