How Milo Helped a Canadian Investor Secure a Texas Property in Just Over 3 Weeks

Navigating the world of real estate financing can be a daunting task, especially when crossing international borders. For a Canadian investor seeking to purchase a new single-family home in Texas, this challenge was made even more complex by an unforeseen obstacle. Here’s how Milo turned a potential crisis into a success story.

Our client, a first-time investor from Canada, found himself in a tight spot just three weeks before closing on his new property. Originally, he had secured a loan from a lender who, unfortunately, was not well-versed in dealing with foreign nationals. This lack of experience became apparent when they realized they couldn't close the loan due to the client’s lack of U.S. income or credit history. With the closing date fast approaching and a strict contract with the homebuilder, our client needed a quick and effective solution.

The property in question was a charming single-family home valued at $404,000 in Texas. Given the investor’s limited ties to the U.S., traditional income-based loans challenging. Recognizing this, we recommended a DSCR (Debt Service Coverage Ratio) loan, a specialized type of mortgage that relies on the rental income of the property rather than the borrower’s personal income. This type of loan is particularly useful for investors who may not have traditional income documentation in the U.S.

Our client found Milo while searching for lenders experienced in handling complex cross-border mortgage scenarios. Recognizing the urgency of his situation, our team quickly sprang into action. We understood the critical importance of meeting the contract deadline and knew that income-based loans wouldn't work for this investor’s timeline.

Milo's solution was a 70 LTV (Loan-to-Value) cash flow loan, tailored to leverage the rental income from the property itself. This approach allowed us to bypass the challenges associated with the client's lack of U.S. income or credit history. By focusing on the property’s ability to generate income, we were able to secure the necessary financing within just over three weeks.

The closing went smoothly, and our client was thrilled to finalize his purchase on time. What might have been a stressful and disappointing experience turned into a successful investment opportunity, thanks to Milo’s expertise in handling international mortgage complexities and tight deadlines.

For first-time investors navigating the U.S. real estate market, Milo provides the expertise and solutions necessary to overcome obstacles and achieve their investment goals. When it comes to securing the right mortgage, especially across borders, Milo is the partner you can count on.

The opinions expressed in the Blog are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific security or investment product.