In this special episode of the Investor Financing Podcast. Vinney Chopra interviews Beau on multifamily financing and all things commercial lending. If you want to learn about all the multifamily lending options, you are going to want to tune into this show!
Build-to-rent financing refers to financing that is secured to build or acquire newly-constructed homes specifically for renting to tenants. This differentiates it from loans used to build apartment buildings.
Here are some of the benefits of this emerging real estate niche:
1. The Need for Entry-Level Housing
2. New Homes Attract Premium Renters
3. Work from home
4. New homes have fewer maintenance costs
5. Less competition
In this episode, we discuss conventional (or traditional bank) loans versus rental portfolio loans and some of the advantages for real estate investors.
Here are some of the top tips:
1. Loans made to business entity vs personal name
2. Properties qualify vs you as an individual from a debt ratio standpoint
3. Conventional to portfolio strategy
4. Buying a portfolio
Tune in and learn some tips on financing your rental properties!
In this episode, we dive into the most common first question commercial mortgage brokers get asked “What is your rate?”
My response is almost always the same, “IT DEPENDS”.
There are so many factors involved in pricing a loan–I wanted to get into this on the show. We talk about factors like:
• What is the anticipated hold period
• Sponsor experience
• Loan to cost
• Sponsor’s net worth
• DSCR (Debt Service Coverage Ratio)
• Any capital expenditures (capex) needed?
• As you can see, there are many factors to consider before you look at the rate.
Plus, it’s important to note that your interest rate is just one term in the overall loan. Other parts of the loan could weigh on your funding decision.
Yes, you read that right. I bought a house in the Midwest for less than $10,000!
In this episode, we talk about buying cheap cashflow houses in the Midwest. There are pros and cons to this style of investing. To be all-in for 15k and collect $630 per month seems to be a great deal. Make sure the big ticket items are in good working order: specifically, the mechanicals and roof! Tune in and enjoy this episode.
In this episode we have special guest Jon Roosen and we talk to him about how he found, funded and plans on adding value to his 20 unit property.