Commercial Revolving Line Of Credit
I recently applied for a commercial revolving line of credit with a bank I've done business with for 14 years. They do such loans. I was turned down and told that they would consider it after I had done a couple of deals with them. I have experience in purchasing, rehabbing and selling houses on my own but apparently they didn't consider it. How should I approach these lenders to get a decent line of credit to buy, renovate, hold or sell residential and commercial property I acquire at a good price? I can find the deals but I need the line of credit. I have used hard money in the past but I'd prefer not to. My credit is in good shape. I don't wan't a HELOC. I presume that it would be better to get lines of credit from more than one lender.
Remember banks only want to give you lines when you don;t need them.
Make sure they understand that you are glad to give them a lien on the property adn the LTV should not exceed 60%; with matching credit and a track record, if they still turn you down, you need a different bank.
what do you mean they want you to do a couple of deal with them? How can you if they will not extend the credit?
John
Open a business account at a local bank (where the property is) that makes loans only in that State. Six months later request the line. They will be happy to keep you as a customer for life, assuming the LTV and your credit are to par.