Cash Course Podcast

Loan options

Listen Later

Summary

In this episode, Brett and Dr. Derrick discuss different types of loans and their uses in real estate investing. They cover FHA loans, conventional loans, VA loans, USDA loans, jumbo loans, and construction loans. They explain the requirements, benefits, and limitations of each loan type. The conversation provides valuable insights for investors looking to finance their real estate ventures. In this episode, Brett and Derrick discuss various loan vehicles for property investment and purchasing. They cover ground-up builds, debt-to-income ratio and conventional mortgages, and the benefits of DSCR (Debt Service Coverage Ratio) lending for real estate portfolio expansion. They explain the requirements and approval process for DSCR loans, as well as the advantages of moving properties into LLCs. They also touch on hard money loans for short-term investments and owner financing options. The episode concludes with a call to action for listeners to provide feedback and support the podcast.Takeaways

  • DSCR loans are a crucial tool for building wealth through real estate investment, as they are based on the property's ability to cashflow rather than the borrower's personal financial profile.
  • To qualify for a DSCR loan, investors typically need to provide a 20% or more down payment and demonstrate positive cashflow from the property.
  • DSCR loans allow investors to acquire multiple properties without being limited by their personal debt-to-income ratio.
  • Moving properties into LLCs can help mitigate risk and protect personal assets when using DSCR loans.
  • Hard money loans are short-term loans with higher interest rates, often used for house flipping projects.
  • Owner financing, also known as For Sale by Owner (FSBO), allows buyers to negotiate terms directly with the seller, acting as the bank.


      • ...more
      View all episodesView all episodes
      Download on the App Store
      Cash Course PodcastBy Lakeridge Realty Group