Need Help Finding A New $0 Down Lender
I've done several deals with no money down by using a commercial lender. We have several houses and a good amount of assets along with a fico of around 780. The lender pretty much always gave us the full amount plus an extra 5K or so for the fix ups. Suddenly, right in the middle of our last deal I called and discovered that our lender had "resigned". The lender put in his place wanted 20% down and had one of our other properties appraised. For some odd reason botrh the appraisals came in very low. In fact, this appraiser appraised one of the properties lower than it appraised at a year ago-- before we rehabbed it! He just looked at what the properties had been on the market for previously and found properties at the same price for his comps. All that aside... 2 weeks before our closing we had to come up with 20% down to save the deal. I was not happy, believe me!
This new lender is skeptical of of these investment deals and I don't think that he is going to be an advocate for me in future deals. I need help finding a new lender. Any ideas on how I can go about looking for a new lender? What questions should I ask of the lenders to feel them out and see if they are going to work for me?
I have looked into this extensively. Most conventional lenders want 20% down. Unless you own other properties free and clear (that you could use as collateral) you may find it very difficult to get 100% financing.
I am a mortgage broker in Texas and you should not have any reason for funding your loans. I know of lenders that will finance investment property with 95% down.
Even doing that I can make it almost a zero down, with some "creative" financing.
If you need more help email me.
I've found that with a track record, some experience, and financial statements (no matter if they are good or bad) you can go to a local bank with good luck. I walked in there with nothing to show and whenever I had a financial statement (taking Robert Kiyosaki's advise) I always was given the time of day. Also know that I only talked to smaller banks in that typically the person I talk to gives the yes or no. I also a business plan or summary (was a few pages and included a lot of diagrams and things to LOOK at).
As I said, I didn't have any problem with the lender that I had before. I just walked in, told him what I wanted and he said "no problem, we can make it work". Now that he is gone, it's a whole different story. Although the new lender doesn't say it outright he indicates that the lender that we worked with in the past wasn't following the rules (ie: 20% on non owner occupied). I guess my question here is more one of how can I find a new lender who will work wioth me as the old one did. I don't want to waste a lot of time so I need some advice on how to do my search and what questions to be asking the lenders.
How did you find the first one?
I found the first lender from one of my husbands clients who also has done a lot of investment deals. I wonder how this new lender problem is affecting him now and everyone else who was working with this guy. I think that some investor must have gone bankrupt or something and raised a red flag. We kind of knew that there was some kind of problem going on in the middle of our last deal but the lender said "don't worry" we'll make it work. Well, the next time I called he was gone...Poof!
Your old lender may have been structuring deals all under owner-occupied status. I have several 100% programs available to a person with a 780 fico. send me a private message for more info.