Real Estate Investors Network

New loan program for investors - 10 plus properties, close in LLC

2008-06-10T14:58:00.000-07:00

New Loan Programs for Real Estate Investors

Rein USA's mortgage affiliates introduce exciting new loan programs exclusively for real estate investors

Real Estate Investor Line of Credit

Available for 1-4 unit residential investment properties

Equity lines from $250,000 to 2 million

May be used for purchase, cash out, or rate and term refinance

Interest rate based on prime + 1%

Interest only payment (no escrows required)

LTV for individual draws are lesser of 80% of purchase price or 75% of appraised value

No pre payment penalties

Draws secured by first lien on each property

No restriction on number of financed properties

No minimum loan amount on individual draws

Close and hold title in a corporation, LLC or personal name

Programs, guidelines and rates subject to change without prior notice.

Investment Property Term Loan

Available for 1-4 unit residential investment properties

May be used for purchase, cash out or rate & term refinance

Interest rate based on CMT index + margin

30 year amortization (fixed for 5 years)

Principal and Interest payment (no escrows required)

Lesser of 80% of purchase price or 75% of appraised value

No pre payment penalties

Close and hold title in a corporation, LLC or personal name

Programs, guidelines and rates subject to change without prior notice.

Available States and Cities

These products are currently being offered in the following states and cities.

Colorado (Ft. Collins to Colorado Springs and Denver to Glenwood Springs)

Ohio (Dayton, Columbus, Cincinnati and surrounding area)

Florida (Sarasota-Bradenton area only)

South Carolina (Hilton Head Island area only)

NOTE: The borrower does not have to live in the city in which the properties are located. Proof of reliable property management required for out of state investors.

Required Documentation

Full documentation only

Minimum credit score is 650 (no mortgage lates allowed)

Three years tax returns (business and personal)

Personal financial statement

Proof of assets

Summary

The current real estate market is one of the best in history for investors. Even though great buys are in abundance, it has never been more challenging for investors to obtain suitable financing. As Fannie Mae and Freddie Mac continue to tighten guidelines and private lenders become more conservative, investors are forced to seek alternative funding sources.

The Real Estate Investor Line of Credit is the perfect solution for serious investors and wholesalers, providing quick access to funds with minimal costs and low interest rates. Once the equity line is established, simply identify a property, submit a purchase contract and order an appraisal. Twenty percent down is required and the remaining balance is funded from the equity line. There are no processing fees, underwriting fees and no additional points to pay once the line has been established. There is no minimum loan amount or maximum number of financed properties. You may close and hold title in a corporation, LLC or your personal name. The property is secured by a first lien and can be sold at any time with no pre payment penalties. Properties secured using the Real Estate Investors Line of Credit may be sold or converted to long term financing with the Investment Property Term Loan. The line can be used over and over, sell or refinance properties to free up the line.

Refinance existing properties to the lesser of 80% of purchase price or 75% of appraised value to pay off conventional or hard money loans, or even get cash out.

How to Apply

If you have additional questions or wish apply for either the Real Estate Investor Line of Credit or Investment Property Term Loan you may contact Rein USA by calling 888-734-6872 or email at info@reinusa.com.

If you are interested in these programs in states or cities not currently offered please email us and we will notify you when it becomes available.

Please be prepared to provide a personal financial statement and proof of assets. Serious inquires only please.

Rein USA specializes in assisting real estate investors with their financing needs. We understand the special requirements of investors as this is our primary business.

Rein USA

5650 Greenwood Plaza Blvd #144

Greenwood Village, CO 80111

Phone: 303-770-2038

Toll Free: 888-REIN-USA (888-734-6872)

info@reinusa.com

www.reinusa.com

Changes to Number of Properties Financed for Investors

2008-06-02T12:45:00.000-07:00

Freddie Mac Cuts Maximum Number of Financed Properties

Freddie Mac recently announced guideline changes that will greatly affect residential real estate investors.

Beginning August 1st, 2008 the following changes will go into effect:

A borrower may not have more than four financed 1-4 unit properties, including the subject property.
For cash out refinances the borrower must own the property for at least six months prior to refinancing.

For a complete update on new Freddie Mac guideline changes go to:

http://www.freddiemac.com/sell/guide/bulletins/pdf/bll042208.pdf.

What does this mean to the investor?

Under current guidelines for Freddie Mac and Fannie Mae an investor is allowed to have up to 10 financed properties. This change will prevent an investor who has more than 4 financed properties from obtaining a mortgage with lenders who sell their loans to Freddie Mac.

Currently Freddie Mac and Fannie Mae do not have loan seasoning requirements on investment properties. The second guideline change would affect investors purchasing properties with hard money loans, lines of credit or cash with the intent of refinancing to pull cash out. Under the new guideline an investor would have to wait 6 months in order to process a cash out refinance.

Fannie Mae and Freddie Mac are for-profit, privately capitalized government-sponsored
enterprises that purchase the majority of conforming loans. Most all conforming lenders now underwrite strictly to Fannie/Freddie guidelines.

What about Fannie Mae?

Even though Fannie Mae has not given any indication if they will follow suit and make similar guideline cuts, it is very likely as Fannie Mae is often seen as the more conservative of the two entities.

Such a change by Fannie Mae would make it impossible for an investor with 4 financed properties to obtain financing for the purchase of additional properties through any lender conforming to Fannie/Freddie guidelines. An investor with five financed properties would not be able to refinance regardless of credit, income, assets or desired loan to value.

What can be done about these changes?

Aside from writing letters to your congressman, there is very little that can be done. Since lenders have few choices but to sell their loans on the secondary market to Fannie Mae and Freddie Mac, they are stuck following their guidelines for the time being.

If you are considering a purchase or refinance loan and have 4 or more financed properties, we strongly recommend starting the process immediately. Due to these guideline changes it is likely that the industry will see an increase in turn times and additional lay-offs by lenders nationwide. This means that it is possible to see longer underwriting times and stricter conditions. Do not hesitate to contact us directly for assistance with your current financing needs.

Tired of getting the runaround from inexperienced mortgage brokers?

Rein USA specializes in assisting real estate investors with their financing needs. We understand the special requirements of investors as this is our primary business.

· Investment properties, owner occupied and second homes

· Fixed rates, ARM's and Interest only loans

· Full doc and stated income

· Construction, commercial and rehab loans

· We have access to hundreds of lenders for all types of loans and special requirements.

Please let us know if we can help.

Rein USA

5650 Greenwood Plaza Blvd #144

Greenwood Village, CO 80111

Phone: 303-770-2038

Toll Free: 888-REIN-USA (888-734-6872)

info@reinusa.com

www.reinusa.com

Introducing Rein USA's Free Investment Property Listing Site

2007-04-16T17:09:00.000-07:00

Welcome to Rein USA’s new Investment Property Listing Site

We are pleased to announce the introduction of Rein USA’s new Investment Property Listing Site. This latest addition to our web site is a free service offered to our members allowing buyers and sellers to come together in a virtual community.

There are two new features:

Investment Property Listing Site

· Free membership
· Search nationwide investment properties
· List income properties for sale
· Calculate cash flow

Rein USA’s listing site is perfect for real estate agents, wholesalers, builders or individual sellers. You can post properties on your own, upload photos and advertise your services to real estate investors nationwide.

The Rein Team Directory

· Search nationwide businesses specializing in working with real estate investors
· Advertise your business to thousand of potential clients at no charge

The Rein Team directory allows any business with products or services for real estate investors to advertise in their home town or all across the country.

Please take a moment and visit http://www.reinusa.com/ for these exciting new features. We are rapidly becoming one of the most exciting sites for real estate investors in the country and we welcome your participation.