CJ the Lender

I just got my borrower approved for her fix and flip loan. 90% on the purchase 100% on the rehab 10.75% rate - 1.6 points If you need some terms like this on your next fix and flip, send me a message.

Your ARV is in the top 10% of the market? Lenders see risk. Try to stay away from the high end luxury flips when you can.

Ground up construction at 9.75% if you've got 5+ builds under your belt in the last 36 months. 10.5% if you're under 5. Let me know if you need a Ground Up loan.

Can't afford a hard money loan? Sometimes the answer is to partner up, not give up.

If you need 80% LTV to make your BRRRR work, you don't have enough spread. Find a better deal.

Mid-construction rescue loans? They're usually a pass. Unless you have high liquidity and the story makes sense.

@Acorn619 True. But sometimes if they want invest, that’s what it might take.

@CJtheLender Except the lender with an unsecured position. Might be acceptable if the borrower has other lower levered assets.

Your private lender wants 2nd position? Most institutional lenders hate that. Use a promissory note instead. Keeps everyone happy.

@killjosiah @FundToBuy @spencerr110 Follow you. You’ll have to follow me first for me to message you

@FundToBuy @spencerr110 @CJtheLender Hey can you DM me, I cant DM you

8.5% for 5+ experienced flippers. 9% if you're building your track record. Either way, we can close in 7-10 days if you need it.

Most lenders don't count experience if it's in progress and unsold. If you have a flip on the market, I can get it counted towards your experience. 5+ on the track record and you get better leverage and rates.

Most lenders take 2-3 weeks to close. We take 7-10 days. Time kills deals. Speed wins deals. If you need a quick close, let me know. Call or text me 818-458-7446

BRRRR tip: Underwrite to 70-75% LTV on the refi. Not too many lenders are giving 80% anymore. 75% you can get. Leave yourself margin.

@sergiopAnsel Depends more on experience. If you’ve done over 5+ projects in the last 46 months, 90% on the purchase, 100% on the rehab at 8.5% Under 5 is 85/100 at 9%

@CJtheLender What does a 840 credit score get you

FICO under 680? That's a problem. Most lenders won't fund you. Above 640+ and I can get you funded.

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@CJtheLender I just sent you a message to get more info. Looking forward to connecting.

@spencerr110 Not anymore unfortunately. 12 month term. $250 per draw. No deferred interest

@CJtheLender Do you offer 100% of purchase and rehab? If not, any deferred interest if the deal permits? Whats the minimum spread? What’s the term length? Any draw fees?

The agent's buyer didn't have many lending options on an acquisition of a new construction. $593,450. San Diego. Closed. Sometimes you need a lender who you know can perform and get the deal the funded.

0 flips? We can talk. 1+ flips? We prefer it. 5+ flips in 36 months? You get our best leverage and rate.

Young RE Investors: Yes, your entire life can change with one little deal. Here's the story of a 31-unit deal we bought in 2019. We invested $300k to buy this little property for $1.2 million, including about $150k into fixing it up. All-in for $1.35 million. It was in nice shape and only needed light renovations, but it was poorly managed (rather, very little management or maintenance support at all). Renovated it. Got the landscaping and curb appeal dialed in. New signage. Actually answered the phone. Moved rents to market (which are sub-25% household income in this market). Refinanced and pulled out all of our capital after 12 months. Sold it for $2.8 million after a 2.5 year hold, a profit of $1.45 million in 2.5 years (excl. cash flow, selling costs, etc.) Just like that. That win could be the foundation on which you build a real estate empire. Or some other empire. Whatever...it's a good start. Now, for newer real estate investors...what if you don't have the $300k needed? You probably don't. So how to get it? Could you borrow it? What if you borrowed that $300,000 at 12% fixed for 2.5 years? You'll pay $90,000 in interest...and make over $1.3 million on that one little deal. Honesty check: Yes, that's risk - not suggesting this is for everyone. If you don't know what you're doing or get cute, you could be behind the 8-ball. But it's a real example of what can be done without "going big" and buying institutional deals. You really wouldn't even need to syndicate this little one unless you didn't want the risk of hard money or other debt. And bonus: Most of the big guys aren't pounding the pavement for these smaller properties. But you can. Notes in the next post.

If anyone needs any pricing on any deals, send me a DM. We’re beating out a lot of top lenders nowadays on rate and points. Happy to get more you more profit in your pocket. Send me a message.