Hey, Loan Guys! Have Qualified Buyer - Can't Find a Loan - Got Any Money ?

Virginia... I am not god nor am I perfect. I say this because I don't want people to think that I know it all... nor am I trying to criticize you.... or that out of stat lenders are even bad.

Let's attack one thing at a time.

• You said... these condos were loanable prior to February.  By whose standards? 
  
• When it comes to pre-qualifying, it's on the basics of that borrower.... if a borrower picks out a non-financiable property, we don't usually know this until they pick the property out.
• now.... once they tell me that they found one, I ask them questions on it. If they tell me it's a condo, I then go over the specifics with them. This part shouldn't take more than a day.
• lenders in an area might know quickly about a certain area or type of property... but an out-of-state lender, as I mentioned... if they ask the right questions can find out almost as quickly.
• even with non-warrantable condos, square footage matter. It goes back to the resale of the property.

Good Afternoon, Virginia,

I'm responding to this particular blog of yours because your title includes Loan Guys and you helped my lender, Mark Organek, when he first started blogging and he is now helping me (3 days at this) and give you thanks for helping him so I added you to my subscription list.  Your help has come down to me so I wanted to thank you.  Have a great day and I hope your assistance helps many others out there.

Virginia, I tried calling you back..I am east coast and you are in Nevada - so we have a slight time delay.  I have the info I need on this one...just by reading all the blogs...Here's the deal...This loan has a square footage issue now - it resembles a Condotel (which we do loan on- nonwarratable) but this loan rate is going to be UGLY!  This would require a substantial downpayment - which borrower may not have, and his credit score really needs to be over the 720 or the fees paid on it will compound.  I will reach a point on the rate sheet where I can not go any higher and the points remaining will need to be paid at closing. 

I am out of the office in the morning but will return around 1:00pm my time...email me at sherry.bradley@chase.com and let me know if this borrower can put atleast 25% down.  If so we will go proceed from there.   

Hey Annie Oakely, just wanted to check in with you and make sure you were just busy finding money for your buyers, and selling real estate like crazy?  Hope all is been well in your world, I ran across this and remembered you ask me about Hidden Gem once, so here is the link for you, HIDDEN GEMS IN THE RAIN...the list goes on...guidelines and complete list of Active Rain's Hidden Gems. (Members Only) .  The weather has been glorious in TX, March is my favorite because the Azaleas are in full bloom, and they are incrediable this year, but I say that every year, here a picture for you.  Liz

My back yard

If Chase were to pass you will be looking at hard money lenders with high interest rates.

After reading all the comments and responses, I believe Hard Money is the only real option.  Double the rate is a relative thing.  If you can not get financing any where else, then the rate on hard money is not double of anything, it just is what the rate is for this property at this time.  As the realtor, you need to be able to explain to your buyer that this is the only option and he either decided to move forward or not, but to compare hard money to FNMA or FHA rates is a huge mistake.

Seller financing is the only other option but it sounds like that is not a real option.  If you really think about it, $60,000 is not a lot of money and you may be able to send something to your database of clients, float it in your office and talk to others you know in the community about getting one or two private investors involved.  You will still have to pay a higher rate and maybe some points, but you could try to structure something your self.

If you have the details on this property, I would be willing to explore the options with my clients and the people in my firm as well.  You are not at the end of the road yet, but you definately have to put on your thinking cap and find a way to reach out to your network to get this one done. 

Best of luck...

Is he a Vet ?