I had another investor that I have mentored come to me asking for either hard-money lending or to sell her a rental and carry the note. Her bank told her they aren't making loans on investment property right now. This is the 4th person that has come to me in the last 60 days stating that they couldn't get a HELOC, investment loan, or cash-out refi an investment loan at the bank they have been dealing with. Only 2 use the same bank. None of these for are newbies, they all have a proven investment track records of between 3 and 12 years so I don't think it is because they aren't qualified to borrow. These are local and/or regional banks.

I have been doing a little bit of hard money lending. I'm thinking of raising my rates if I'm becoming the only option in town. I don't have an endless supply of cash to invest.

I have seen this in the past when banks shut it down if they feel like we are at high risk of going into a recession, not sure if that is what is happening or if it is something different.

Anyone else seeing their local money supply tighten?

I posted about this earlier here. I had a loan reset this past spring and my credit union was far less friendly than they've been in the past. No cash outs were being allowed. Previous term was seven years. The new term was limited to give years. I've been with them for several years and am an experienced investor.

Large MFH is above the pay grade of most here, but there's trouble on that front and I'm guessing that many of these banks have exposure. Softening rents and excessive leverage are the problems.

I just called my bank guy last week about a possible FSBO deal. He didn't have any problems with me getting the loan.

Now I have not checked with my local (small) credit union in a while to see what they are doing. They won't do longer loans, especially for investment properties. Their rates were not very competitive either.