Investor Mortgage Report – Week of October 7, 2024

Categories:

Traditional/Conventional

DSCR

Fix and flip loans
Rates went the wrong way!

Mortgage rates made a significant move higher last week after jobs data came in much stronger than expected, showing a resilient labor market with lots of new jobs created and a drop in unemployment. The strong labor data makes Fed rate cuts less necessary, and the reaction in markets pushed mortgage rates higher.

Mortgage rates may continue higher this week because momentum has shifted after last week’s jobs data. Although eventually rates will move lower again, we could see some more worsening this week before that happens.

 

 

What’s affecting rates this week:

  • Market momentum: Markets now pricing in the chance that the Fed may not even cut rates at all at the November meeting, which is pressuring mortgage rates higher this week. Traders still believe a quarter point cut is the most likely result, but if concerns about cuts grow from here it will pressure mortgage rates higher in the near term before seeing them move lower again.
  • Inflation data: Although not as important as a few months ago, inflation data could help stop rates from rising higher from here. However, the data doesn’t come out until late in the week.

 

DSCR Loans

40 year options now available!

Best Rate at 60% LTV:    5.9% to 6.375%

Best Rate at 70% LTV:    6.375% to 6.625%

Best Rate at 80% LTV:    6.60% to 6.8%

Highest LTV:    85% (purchase + rate and term)

Lowest FICO score:    620

Smallest Loan:    $65,000

Largest Loan:    $20mm (large portfolios)

Vacant Properties:    75%

Short-Term Rentals: 80% (purchase + rate and term)

Best rates are based on 780+ credit score, DSCR above 1.15, loans over $300k and in major cities.  We have 20+ of the best DSCR loan buyers at our fingertips and can help with most clients’ needs.


No Ratio Loans

Highest LTV: 75% (Purchase + rate and term)

No ratio loans are loans that do not require a rental agreement or have negative cash flow.


Conventional Loans

Owner Occupied: 5.4% to 5.7%

Non-Owner Occupied:  Low 6.125% to 6.25%

Conventional loan rates powered by TNS Loans NMLS #1719349 on properties in Colorado.  If you want specific rates, reach out to TNS Loans via email at MB@TNSLoans.com.


Private Loans

Small Loans and Lenders (.5 – 3 Points): 9.5% – 12%

Large Lenders (15% down + 1 point + closing costs): 8.25 – 10%

 Highest LTV 100% of full project up to 72.5% ARV

 Lowest FICO score:   Mid 500’s with good credit last 12 months

 Smallest loan:    $10k

 

Who has the best terms on fix and flip loans in Colorado?  We are keeping track and it is between Cap Fund 1 and Merchants Mortgage

 


Business Credit Cards

0% for up to 18 months

Options for business 3 months plus in business

Credit usage loans available to increase score to qualify for business credit cards


HELOCS

RENTAL HELOCS from 70 – 80%.     Fixed and adjustable.   RATES AT PRIME + O


 


Don’t forget to grab a copy of your personal Investor Mortgage Report here

What are the best loan products for where you are at now and where you are going.  

Keep up as rates get better and requirements become easier.

Investor Mortgage Report – Week of October 7th, 2024

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