Hi I'm an aspiring real estate investor, I would like to know how I can reach out to you, I have one multi family under my belt so far and I used a conventional bank, I would like to use private money on my next investment, I'd really be interested in your expertise
Finally someone who made a video detailing exactly what I was looking for. Easy subscribe! I do have one question though for you. When you’re talking about 70% the ARV minus rehab cost minus closing and refinance fees- What if the property is already in good shape and has a tenant in place that’s paying rent below market rent. For example, I know of a 30 package of SFH properties in Ohio that are all rented at $800 average when the market rent for the area should be a minimum of $1,100 per house. If I had a private lender utilize his own money to buy the properties, and my job is to get rents up to $1,100 or greater per door, would this still “qualify” for the cash out refinance if the only thing I’m doing is maintaining the properties as they are and increasing rents drastically? The goal is still precisely what this video shows which is paying off the private lender in a year or so by cash out refinancing but how do I know what a current tenant occupied properties ARV is and would most banks allow the value to rise enough if rents were raised by a fairly significant amount per house ($300) to do the cash out refi in the first place? Thank you!
"First thing you have to know, you have to be pre-qualified for the cash out refinance" That's where you had me😍. This is the shortest and most helpful Private money presentation I've seen!
April thank you for your explanation of how this works, I am starting on my first property which will be a build-to-rent. I have subscribed to your channel, website, facebook group. Is it possible for me to get a copy of the Excel sheet you are using in your video?
How do you qualify for your rental property home equity with good credit and low paying job. Renters cover rent now and would cover with refinance cash out?
Hi April! I really enjoy your videos.. Im currently cash flowing $6800 a month on my rentals...Im debating whether I should leave my job now, my concern is not being able to get financing if I do...isnt difficult getting loans through a bank if your only source of income is your cash flow?
Hi, I am looking at a property in PA right now and is shopping for investors? I have my math on running the numbers for the property done already, but need some coaching because I'm very new to this real estate business? Help me please? I love the way you attack infinite returns and OPM
ARV (after repair value) estimates the potential value of a property after all repairs have been made. After repair value is used by wholesalers, fix-and-flip investors, and property owners to determine the potential profit on renovations and updating.
@@aprilcrossley noted, but in yout computation, how much was their profit? Btw, this strategy of yours is the newest ive seen from all the RE schemes. And would like to commend it. I like it quite a lot.
@@cjleongson their principal and interest is paid back with the loan from the bank. My PMLs short term typically charge 10% interest. Varies based on the deal and the borrower
April. im a broker. my client doesn't want to go to the bank because he doesn't have 20% down. so he is choosing private money through me. If i find him a l hard loan with none of his own money down, he would need to rent it out asap and collect the money down for the mortgage bank loan? or wold the bank see the rental cash flow and give him a no money down based on the property equity?
If he buys under market value with cash, he can then do a cash out refinance with a bank w/out bringing much money to the table other than maybe closing costs
How do I get pre qualified for a refinance on a property I don’t own? I tried this and my small local community C.U said I can’t do that until I own the property and the down payment.
You can think of borrowing the interest as just another fee added to your rehab cost. So they make money on the total amount they lend to you which includes the interest
@@11m0 If it's taken from the lender then the lent amount needs to increase as well, which will lead to increased interest and so on. Circular error. Surely what April means is that the offer price need to decrease by the amount of the interest. I.e. the seller takes the interest cost.
you aren't making payments on the private money. The private lender gets cashed out. COC return is the yearly cash flow divided by the amount of money you come out of pocket to put down. You are putting zero of your own money down. The return is infinite. The PML 's loan is replaced by the banks loan with zero money out of your pocket if structured correctly.
Question: I bout a property for 25k ,I never rehabed it, and the tenant pays $650...Should I do a total spruce up, to get max Refi? Or do a refi now..anda 2nd refi After I spruce it up and Take the rent to $950?..Thank You for sharing!.Im tryna Travel 1 day like you guys!!
Sounds a lot like what I have done. 1994 to 1998 was The Golden Age to buy. Bought 50 properties ( 150 units ) in that time frame. Was a lot easier than after 2007, where lenders would shut you out if you had more than 4 or 10 mortgages on residential ( 1 to 4 unit ) rentals.
Love the video, but quick question. You stated in the beginning of the video that you must have either good credit, or long history of job employment etc to even be approved for the hard money loan. So my question is, once your approve and you get to the point where your trying to get the cash out refi through your bank would they have certain criteria that you must have such as the good credit and long history employment as well? Or is that only the hard money lender that requires those things? Thanks in advance
Thanks for watching. Feel free to leave comments or questions below and I'll do my best to respond :)
Hi I'm an aspiring real estate investor, I would like to know how I can reach out to you, I have one multi family under my belt so far and I used a conventional bank, I would like to use private money on my next investment, I'd really be interested in your expertise
April, awesome video
Finally someone who made a video detailing exactly what I was looking for. Easy subscribe!
I do have one question though for you. When you’re talking about 70% the ARV minus rehab cost minus closing and refinance fees- What if the property is already in good shape and has a tenant in place that’s paying rent below market rent. For example, I know of a 30 package of SFH properties in Ohio that are all rented at $800 average when the market rent for the area should be a minimum of $1,100 per house. If I had a private lender utilize his own money to buy the properties, and my job is to get rents up to $1,100 or greater per door, would this still “qualify” for the cash out refinance if the only thing I’m doing is maintaining the properties as they are and increasing rents drastically? The goal is still precisely what this video shows which is paying off the private lender in a year or so by cash out refinancing but how do I know what a current tenant occupied properties ARV is and would most banks allow the value to rise enough if rents were raised by a fairly significant amount per house ($300) to do the cash out refi in the first place? Thank you!
thanks!!!
"First thing you have to know, you have to be pre-qualified for the cash out refinance" That's where you had me😍. This is the shortest and most helpful Private money presentation I've seen!
April, you are amazing! just keep making these videos please. Your rock!
You answered my prayers. Thank goodness I found your channel. Looking forward to learning more about this topic from you.
This was so clear! I’m in PA too. Thanks so much for this video, soooo helpful!
Really helpful! Thank you April.
April thank you for your explanation of how this works, I am starting on my first property which will be a build-to-rent. I have subscribed to your channel, website, facebook group. Is it possible for me to get a copy of the Excel sheet you are using in your video?
Thank you! This is Sooo helpful and clear.
easy to qualify with dscr
Yes, though DSCR has some other qualifications.. and lots of paperwork!
thankyou april. my birthday is in april. i was meant to find this video. bless u in all your endeavors
Glad I came across your video great content I subscribed
thanks Omar!
Your Awesome thanks so much for the info
Amaaaaaazing video thank you!!!
Be safe!! Love your videos.
I'm confused because the property cost 100k. What happended to the other 30k?
How do you qualify for your rental property home equity with good credit and low paying job. Renters cover rent now and would cover with refinance cash out?
Hi April! I really enjoy your videos.. Im currently cash flowing $6800 a month on my rentals...Im debating whether I should leave my job now, my concern is not being able to get financing if I do...isnt difficult getting loans through a bank if your only source of income is your cash flow?
great question, following
Did you ever get an answer for this question from any where else? If so please share. Thanks
Ate you getting nationwide loans with local banks, or are you establishing accounts in each state?
Great content April! Where is that spreadsheet available?
Very clear video with the math! But how would you know the ARV before you rehab and come to the number of $55k to offer the seller?
You’re such an intelligent woman! 🙂
Hi, I am looking at a property in PA right now and is shopping for investors? I have my math on running the numbers for the property done already, but need some coaching because I'm very new to this real estate business? Help me please? I love the way you attack infinite returns and OPM
Hi April - I'm curious to know if your deal analyzer can be used for commercial multi family investing?
no it cannot. Michael Blank has a good analyzer for multifamily!
@@aprilcrossley thank you so much April! You’re amazing.
How many refi mortgages do you have on the books - ball park?
what happens to the 30k equity ? can’t you pull it out ?
ARV (after repair value) estimates the potential value of a property after all repairs have been made. After repair value is used by wholesalers, fix-and-flip investors, and property owners to determine the potential profit on renovations and updating.
What if seller wants retail for the property but it's turnkey. How would that work with the bank only giving 70% LTV?
Then it wouldn’t be the best deal to do with this method of financing on
Be safe April!
Do you account for capex in your numbers? If so, what percentage?
im not sure if i missed it. but when the bank awards you the loan, then you pay off the principal to your lenders, but what about the lenders' profit?
that gets paid back to them too : )
@@aprilcrossley noted, but in yout computation, how much was their profit?
Btw, this strategy of yours is the newest ive seen from all the RE schemes. And would like to commend it. I like it quite a lot.
@@cjleongson their principal and interest is paid back with the loan from the bank. My PMLs short term typically charge 10% interest. Varies based on the deal and the borrower
April. im a broker. my client doesn't want to go to the bank because he doesn't have 20% down. so he is choosing private money through me. If i find him a l hard loan with none of his own money down, he would need to rent it out asap and collect the money down for the mortgage bank loan? or wold the bank see the rental cash flow and give him a no money down based on the property equity?
If he buys under market value with cash, he can then do a cash out refinance with a bank w/out bringing much money to the table other than maybe closing costs
Is there a limit on how many Cash out Refinances that a bank will allow you to do?
This might sound like a dumb question, but how does the investor that sought out the private money get paid from the transaction?
have the same question
So your private lender gives you money just so they can get it back without anything in the deal for them? Makes NO SENSE
What banks do you use that don't have seasoning?!? PLEASE HELP!!!
small local community banks and credit unions. talk to every single one in your area. Skip the big banks.
How do I get pre qualified for a refinance on a property I don’t own? I tried this and my small local community C.U said I can’t do that until I own the property and the down payment.
How does the private money lender make money on the amount they lend you if you include the interest in the amount you borrow?
You can think of borrowing the interest as just another fee added to your rehab cost. So they make money on the total amount they lend to you which includes the interest
@@11m0 If it's taken from the lender then the lent amount needs to increase as well, which will lead to increased interest and so on. Circular error. Surely what April means is that the offer price need to decrease by the amount of the interest. I.e. the seller takes the interest cost.
How do you find private lenders?
We still have to make payments on the private money, so it’s not really an indefinite return :-)
you aren't making payments on the private money. The private lender gets cashed out. COC return is the yearly cash flow divided by the amount of money you come out of pocket to put down. You are putting zero of your own money down. The return is infinite. The PML 's loan is replaced by the banks loan with zero money out of your pocket if structured correctly.
Hello April are your loans 30 years once you refinance?
What’s the best and fastest way to reach you?
How do you get a private lender ?
Welcome to Florida.
Hurry up, get to Texas!!!
yyyeeesss! definitely in my near future!
Question: I bout a property for 25k ,I never rehabed it, and the tenant pays $650...Should I do a total spruce up, to get max Refi? Or do a refi now..anda 2nd refi After I spruce it up and Take the rent to $950?..Thank You for sharing!.Im tryna Travel 1 day like you guys!!
Sounds a lot like what I have done. 1994 to 1998 was The Golden Age to buy.
Bought 50 properties ( 150 units ) in that time frame. Was a lot easier than after
2007, where lenders would shut you out if you had more than 4 or 10 mortgages
on residential ( 1 to 4 unit ) rentals.
Love the video, but quick question. You stated in the beginning of the video that you must have either good credit, or long history of job employment etc to even be approved for the hard money loan.
So my question is, once your approve and you get to the point where your trying to get the cash out refi through your bank would they have certain criteria that you must have such as the good credit and long history employment as well? Or is that only the hard money lender that requires those things? Thanks in advance
What does your private lender get out of it?
They aren't going to lend you money and get it back with out some sort of percentage
My problem is that I’m finding it difficult to find a private lender in uk. Any help ?
April can I use this if I'm retired?
yes!