Investment Property Loans
Are you searching for a loan to help you purchase an investment property? You’ve come to the right place.
I can help you compare the financing options available, explore rates, and begin the preapproval process. But don’t worry – my assistance doesn’t end after your application goes in. I’m here to help you get started on your rental property financing journey, and I will be with you every step of the way
Investment Property
An investment property is any home that is NOT occupied by the owner. It can, however, also be a second home or vacation home that is too close in proximity to the primary residence. Investment property Loans require more of a down payment and are usually used as a source of passive income.
Know Your Limits
Currently, Fannie Mae allows each investor to carry up to 10 loans at any one time.
Credit-qualification guidelines are NOT created equal. For loans 1 through 4, a minimum credit score of 620 is required. Loans 5 through 10 require a credit score of no less than 720.
There are also requirements when it comes to cash. In addition to the down payment, Fannie Mae and Freddie Mac require 6 months of cash reserves available per property. In other words, if you own a primary residence and are buying an investment property, the lender will require you to have 6 months of mortgage payments (principal, interest, taxes and insurance) available for both properties.
Down Payment
You should be prepared to put at least 20% down and 25% down for a better interest rate. However, if you are purchasing your 5th or more property, then you will be required to put down 25%.
Get Pre-Approved
Great investment properties are out there but are often purchased by buyers “in the know” quickly. Increase your bargaining power by getting pre-approved with us today.
See what other have to say about their experience Zillow Reviews. Or Contact me if you have questions.
