Lender That Doesn't Look At Seasoning
I have a client I'm trying to refinance out of his Hard Money loan 85K. He's only owned the property 3-4 months, and it's now appraised at 140K. I'm having trouble locating a bank that will lend him 85% LTV on the 140K . His middle credit score is a 607 and he's been self-employed for the past year. Does anyone know a bank that doesn't look at seasoning and will loan at the new appraised (after rehab) value.
Sorry I don't have more help, but he may want to try to list all of his expenses and investment into the property. After that, he may be able to get a loan for that total....get all of his money back. Otherwise, he can probably get a decent loan at 70% of appraised value. Or they may have to wait a year, as you have already stated. Hope others have more for ya.
[addsig]
Thank you for your reply. He does most of the rehabbing himself, so the labor expenses are alomost non-existant, although he can show reciepts for about 50cents on the dollar for the improved value.
Anyone else know of any banks?
I believe that seasoning is not even going to be the main issue here. The big thing is self emlpoyed for only 1 year. The majority of lenders will want 2 years of self employment proved by either business license or letter from CPA.
We have a letter from the CPA stating that he's been self-employed for two years, and that it reflects on the Schedule C of his 1040. I should say that his company has only been incorporated for 1 year.
Try Indymac Bank they did all kinds of loans for me when I had seasoning issues and self employment problems too. They were really eager to do my loans and still may be ????
Good LUCK and Thank You
Hope this helps some
Ted Jr
Thanks Ted, I'll give them a try