In California, investing in real estate is a great way to leverage debt to build equity. We specialize in helping investors obtain financing when the banks are not the right fit. We have a number of different programs for various investors. We can help with construction, rehab loans, land loans and loans for most property types from residential to commercial. One segment that is popular with our investor clients is our private money cash out refinances to 80% LTV.
For investors, leveraging debt is a good way to increase real estate holdings. To do that, however, requires some capital to work with in the first place. Many investors we deal with have built equity in existing properties. While traditional private money lenders will often times cap cash out transactions at 65%, we are able to increase that leverage to as much as 80%.
By allowing an increase in leverage on existing properties, we can enable investors to free up cash flow to acquire additional real estate assets. In addition, these private money loans help with cash flow due to the interest only payments required to be made. These are for non owner occupied properties only. While we do have products that can work with consumers, these higher leverage investor loans are not one of them.
These investors loans do not have minimum credit requirements, and require simple documentation. Typically speaking we need 2 months of bank statements to show the ability to debt service the loan. If that is not possible, we can still help by building in an interest reserve for the loan. We can help with a wide range of loan amounts on this program, and there is not a cap on the amount of cash out that can be provided.
The approval process is quick. Funding is fast as well, in some cases we can close start to finish in as little as 5 days. This program has been able to save many transactions that had to close very quickly when our clients were required to bring more cash in than expected to close on an investment purchase. For investors with a purchase transaction that must close quickly, these private money loans are also an option. We can even combine the 80% loan option with up to 100% funding of rehab costs for investors purchasing property to fix and flip.
Give us a call today to discuss your scenario and how we may be able to help. 877 462 3422. Or you can find more information on our California private money loans page.