NOO Cash-out Lenders
I am a loan officer in Houston Texas. Here is my scenario. I have about 4 real estate investor, ranging from beginner to season investor. Each has a hard money loan on sfr. They have finish or about to finish their rehabs.
I told them I could do a rate to term refinance with as little of one month seasoning. Which I can do all day long.
But, they want to do a cash-out refinance. The seasoning on the hard money loans are 3 months.
I am in need to fine a lender that with do a NOO, sfr, up to 90% LTV,stated or full doc. with 3 months seasoning, cash-out refinance.
I have been searching the internet, and been calling lenders in the U.S.
If you know of any lenders that will do that scenario. Please!!! let me know. Thank You
Full doc/SIVA - Lime Financial may do it depending on the loan amounts. I just used them for same thing witha 580 score SIVA super jumbo cash out.
The issue you will run into is if the properties increased too much in value. Make sure borrowers can document everything they did and its all professionally done. NO DIY here. Lendes will request receipts for work and do their own appriasal review most likely if value increased signifiacantly, especially on a 90% refi with cash.
Also post to BrokerUniverse if you havent.
90% is going to be hard in todays market with seasoning issues. With seasoning issues, lenders like to see lower LTVs. You should have many lenders do these loans with 70-80% LTV. Check with portfolio lenders.
Also, some lenders will do the CO refi if you provide receipts for the work that has been done. They will treat it like a rate/term refi, although you still get hit for the CO on your rate. Example:
Purchase price: $50,000
Receipts for repairs: $20,000
Appraised value: $100,000
They could get a loan for $70,000 (purchase price + repairs). This will might be lower than they want, but it at least gets them all they have into the house. You could then do an equity line after 4 months seasoning or refinance them CO after a six months or a year so they can pull more CO.
Quote:
On 2007-04-15 00:30, estateXchange wrote:
90% is going to be hard in todays market with seasoning issues. With seasoning issues, lenders like to see lower LTVs. You should have many lenders do these loans with 70-80% LTV. Check with portfolio lenders.
Also, some lenders will do the CO refi if you provide receipts for the work that has been done. They will treat it like a rate/term refi, although you still get hit for the CO on your rate. Example:
Purchase price: $50,000
Receipts for repairs: $20,000
Appraised value: $100,000
They could get a loan for $70,000 (purchase price + repairs). This will might be lower than they want, but it at least gets them all they have into the house. You could then do an equity line after 4 months seasoning or refinance them CO after a six months or a year so they can pull more CO.
estateXchange, can you recommend any lenders? I am in South FLorida and need rehab financing. We plan to do allt he work ourselves as we are licensed contractors and can provide the lender all receipts. Would prefer to do no doc or low docs.