Refinancing Investment Property

[aaronbuyshouses]

I have a property I have rehabbed, and it has been sitting on the market for about 3 months. I am starting to get a bit impatient, and am considering other alternatives to get out of this property. (i.e. LO/Rental,etc.)

Here are some of the specifics:
Appraised Value: $161,000
Current Loan Value: $93,000
I have owned the property for 6 months.
Property is in the state of Virginia

Has anyone out there been able to find 80/20 (or better!?!) loans on investment property? To compound the issue, I am having difficulty even finding 70/30 without 12 month seasoning requirements.

In addition, with the property being on the market, some lenders will not even consider refinancing.

If anyone knows of a national institution with a loan product which might be of use to me, please send me a PM. Thank you!

(and before anyone asks...yes, it will cash flow...even with an 80/20).

[The GUY]

I have a property I have rehabbed, and it has been sitting on the market for about 3 months. I am starting to get a bit impatient, and am considering other alternatives to get out of this property. (i.e. LO/Rental,etc.)

Here are some of the specifics:
Appraised Value: $161,000
Current Loan Value: $93,000
I have owned the property for 6 months.
Property is in the state of Virginia

Has anyone out there been able to find 80/20 (or better!?!) loans on investment property? To compound the issue, I am having difficulty even finding 70/30 without 12 month seasoning requirements.

In addition, with the property being on the market, some lenders will not even consider refinancing.

If anyone knows of a national institution with a loan product which might be of use to me, please send me a PM. Thank you!

(and before anyone asks...yes, it will cash flow...even with an 80/20).

Arronbuyhouses, sad to say what you seek does not exist. Investor loans even in full document income and assets situations in the hay day of the market were limited to 90% LTV due to risk to lender of a borrower who will just walk away. That being said some may have not mis-classified their investment properties as second homes or even primary residences in order to successfully obtain financing above 90%.

Secondly no lender would have or will lend money on a home that is listed, it is a waste of time and their money. Lenders require a minimum of 6 months usually to start to break even on origination cost versus loan payment revenues. This is why they created prepayment penalties. The nature of lending money of long terms is just that lending money of long terms.

Finally lenders have seasoning requirements on title which is in place to avoid completing loans for property flippers. Typically even with the rehab done and a lender allowing a refinance value they would not let you use the property value after the rehab, they will force the property to be evaluated at the price by which you purchased.

Perhaps let us know what the intentions or use of funds is for to see if it sparks alternate ideas from MB folks for you. But I would stop looking for what you will not find as far as the loan scenario above.

:beerchug: