Posted by Ken Crawford on July 15, 2003 at 11:11:22:
I work at Capitol Loan Specialist, and I need to find a lender to do two niche programs.
100% ltv noo 4 units 627 middle score
why are loans harder to get… - Posted by bobbie
Posted by bobbie on November 28, 2002 at 01:32:36:
why are loans harder to get for income properties with more than 4 units? wouldn’t it make sense for a loan to be easier to obtain for a lot of units, since there’s more income?
Re: why are loans harder to get… - Posted by ray@lcorn
Posted by ray@lcorn on November 30, 2002 at 20:51:38:
Bobbie,
Everyone below is right.
Multi-unit loans are harder to get from lenders that do mostly in single to four unit and owner occupied financing.
When your investing takes you into a new realm, it’s time for a new lender. Because the opposite of the above statement is also true. My main lenders won’t touch a four unit or single family house. It isn’t worth their time because they are after bigger loans.
As to 100% financing, be careful. See this post;
http://www.creonline.com/commercial-real-estate/wwwboard5/messages/7178.html
ray
Re: why are loans harder to get… - Posted by Linda - CA
Posted by Linda - CA on November 29, 2002 at 01:43:52:
This is what I’ve been told by lenders/loan brokers:
Single family homes and up to 4 units are still viable for many owner occupants. Also, there are more people who can afford 4 units; therefore, it is more liquid. It is also easier to turn a problem property that is 4 or less units than it is for larger properties.
Re: why are loans harder to get… - Posted by James Strange
Posted by James Strange on November 28, 2002 at 09:21:53:
It comes down to fast resale. If the lender has to take over the property they want equity in the property. So when they sale it fast they can recover the money that they loaned for a business.
That’s BS - Posted by Mr. C
Posted by Mr. C on November 28, 2002 at 22:29:16:
So if I can buy a 8-plex for the same money that I can get a 4-plex, I should pass on the 8-plex even tho it will have twice the return and a greater resale value?
Get real.
Re: why are loans harder to get… - Posted by GMann
Posted by GMann on November 28, 2002 at 11:13:41:
James is correct.
The rule of thumb for lenders is.
Mortgage lenders are not in the lending business not the real estate business. Real estate is just the collateral they use to secure their money.
Re: That’s BS/ This is the real world - Posted by James Strange
Posted by James Strange on November 29, 2002 at 05:36:45:
No that is not what I was saying!
If you want a lender to loan you money to do the deal you will have to conform to comercial lending.
Like it or not that is how it is in the real world.
I agree… - Posted by Ben (NJ)
Posted by Ben (NJ) on November 30, 2002 at 07:50:25:
my lender will loan against vanilla pure single family homes any day of the week because they will sell in days to practically anybody. As you go down the list
(apartments, commercial, industrial) they get more and more nervous. Ask them to loan against raw land and they will show you the door!
Re: That’s BS/ This is the real world - Posted by Mr. C
Posted by Mr. C on November 29, 2002 at 09:57:20:
If that’s the way that your lender thinks, then it’s obviously time to find a different lender.
Re: That’s BS/ This is the real world - Posted by James Strange
Posted by James Strange on November 29, 2002 at 10:49:17:
How many 8 plexs have you closed on using 100 LTV loans?
If you have a lender that will do that please let me know.
100% LTV on 8 plexes - Posted by Ricardo
Posted by Ricardo on November 29, 2002 at 11:02:39:
Yes, yes. I would like to know if there are lenders that do 100% LTV on 8 plexes.
Re: 100% LTV on 8 plexes - Posted by rick
Posted by rick on December 17, 2004 at 14:59:52:
I am looking to finance a frachise with the land.
Re: 100% LTV on 8 plexes - Posted by David Bradley
Posted by David Bradley on December 16, 2002 at 22:30:19:
How can I recieve 100% LTV on a 8 Plexes Iam
looking to purchase.
Re: 100% LTV on 8 plexes - Posted by Mr. C
Posted by Mr. C on November 29, 2002 at 11:55:21:
To my knowledge, 100% LTV on a 8-plex doesn’t happen… 4-plexes might qualify under a PAC Trust.
Don’t ask me about, go look it up.
Re: 100% LTV on 8 plexes - Posted by GMann
Posted by GMann on November 29, 2002 at 12:47:55:
Here’s the deal on 100% 1-4 units. There are two companies that are the END investor for these products. End investor means they are the ones that create the Mortgage Backed Securites for these products. THESE DIVISIONS DO NOT DEAL WITH THE PUBLIC. THEY WON’T EVEN HELP YOU SO DON’T ASK! You must be a very experienced mortgage lender/banker with a $1MM net worth to even deal with them.
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Household International - 100% 1-4 units owner occupied only. 580+ credit scores and only MINOR credit derogs
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Credit Suisse First Boston - 100% (1-4 units) investor combos. Full documentation income to stated income. Must have excellent credit and 660 credit scores
As far as the 100% (5-8 units). I only know of two companies that will allow a 95% CLTV. They will only do a 55-65% first. You are on your own to find a seller/lender that can do a second for the remaining 30-40%. I will admit commercial is not my game but I am always looking for programs for all real estate.
Re: 100% LTV on 8 plexes - Posted by Jason
Posted by Jason on December 03, 2002 at 19:42:20:
Add to that, Alpha Omega Financial, but don’t recommend at all for much of the same reasons. Arrogant, unprofessional, etc., etc.
Add SIB to list of lenders - Posted by Jimmy
Posted by Jimmy on December 01, 2002 at 15:52:24:
add SIB Mortgage (Staten Island Bank?) to the list of lenders who will go 100% on NOO 2-4 unit investment properties.
I just closed a 4-plex with them. I WOULD NOT recommend them, and I will not use them in the future. very unprofessional. very sloppy. very slow. extremely arrogant.