Looking for acquisition and renovation loans for investment properties in DC.

Your best bet is to look for local credit unions and small banks. There is nothing in the conventional loan market for investment rehab anymore. Typically you're going to see loan to value limits around 70% but they are still out there.  I'd ask local builders and realtors for construction lenders. Most do renovations loans as well.

Check with a good FHA lender for a 203K.  FHA will allow non-owner if it is a HUD REO.

Home Loans,

Solicitation isn't allowed in the forums and your post makes no sense.

Curious, too, if anyone has found any true "No Money Down" hard money loans for investor rehabs.

Dana Wylie:

Curious, too, if anyone has found any true "No Money Down" hard money loans for investor rehabs.

I've found that no one will put "No Money Down" in investing in something like that ;)

home loans:

you can find the best home loans . we should help our borrowers with loan modification. Most home buyers have to borrow money in order to purchase their home. Few have enough money sitting in the bank, or in other easily saleable assets, to pay the entire cost of the home at once. (Even those few who do have enough money usually find it financially advantageous – perhaps for extra tax relief -- to borrow some of the money.) The home loans they receive is called a mortgage. Generally, a mortgage is a loan of money to the home owner secured by a "lien" on the real estate.

Is that a wiki cut and paste or what???

You learn something new everyday!  Is the non-owner part of the 203K only for the 203K streamline or do you have to do the full blown 203k?  Are the qualifications the same for a non-owner as a primary borrower?  I understand this is just for HUD REO but this is a great fact to know!  Thanks

You can get a conventional NON OWNER REHAB using the Fannie Mae Homestyle loan. It will require 20% down and usually 6 months of cash reserves for the payments.

FYI-- I never have heard of FHA doing a non owner unless the propery already had FHA financing and the owner wanted to do a refinance. Please provide me with more details of what lenders will allow this to occur.

akaagassi:

I've found that no one will put "No Money Down" in investing in something like that ;)

Thanks, Brian!  I knew if someone said 'yes' it would be like winning the lottery.

I was responding to the answer that was given about non-owner FHA loans on HUD REOs that was given earlier.  I had not heard of it either and wanted more info.  If anyone else knows if this program is available please advise.

Investor options for HUD REOs?  Check out this Mortgagee Letter: http://www.hud.gov/offices/adm/hudclips/letters/mortgagee/files/00-27.doc

Go to page 8 and look at the 2nd paragraph.  Voila!

I haven't really looked into lenders offering this program recently (and now I probably will), but I would guess Universal and some of the other lenders that offer 203k loans would be the place to start.

Great info Kent!

Kent,  I've been looking for lenders doing full 203K (substantive).  I've found one but shall we say that I'm less than impressed so far.  You mentioned Universal in your post.  I know of several lenders that are doing streamline 203K but substantive is pretty rare, at least in the wholesale market.  Apparently, secondary market investors are gunshy of buying that product if its originated by a broker.  I can understand why.  Most loan officers can't even spell construction, much less originate a good file.  We're actively working in Texas in an area that was impacted by Ike and $35K with no structural repairs just isn't going to cut it in our market.  Any direction you, or anyone else, can provide would be appreciated.     

there are a lot of qualified people on here, not all of them post in the forums...click on directory and click on Texas and dial away!!! 

I don't know of anyone offering the full 203k, just the streamline on the wholesale side.  I didn't clarify enough in my post, sorry.

One option on FHA you probably know about is the 203h program.  http://www.hud.gov/offices/hsg/sfh/ins/203h-dft.cfm  If you weren't aware of it, you may want to research lenders doing this program.  It may be able help some of the customers who have to rebuild completely or who are just buying a different property.

Kent, thanks for the reply.  Yes, we're VERY familiar with 203H.  As a matter of fact we're using 203H and 203K together on these storm damaged homes to do purchase + rehab.  The problem we're going to run into though is appraisal comps, especially now that we're getting close to 6 months after the storm.  We're just hoping that lenders are going to be willing to let us use comps outside the most heavily storm impacted areas.  People are going in and buying these homes with "salvage" pricing ($25-40K).  203H by itself won't fly on its own because they are not habitable.  In some cases 203K streamline may work if they only need new flooring and dry wall, but 35K seems to be about the minimum, based on the files that I have seen so far.  However, a lot of buyers are going in with a pretty big wish list of cosmetic improvements that push us into the 203k substantive program.  As I mentioned, I have only found one lender doing these in the wholesale market and they are being pretty picky.  Their investor is basically "cherry picking" files and so far only borrowers with A paper type credit have been approved.  Of course if FHA standards keep getting ramped up the way they have in the last year, that is all we are going to be able to do on any FHA loans.    

I can imagine the problems you are having.  I hope you are also adding in the EEM, if the lender is allowing it.  That would at least give you a little extra money to work with.

Yes, we're doing that but in most cases that only includes insulation.  Amazingly enough, there is no such thing as energy efficient sheet rock, carpet, or paint.  :)