Getting financing for more then 2 houses

[Gevin Glines]

Hello! 

So with the saying "great deals will make money come to you" how exactly do you go about getting the funding approved through a conventional loan if there are no gifts or erratic funds dropped into your account allowed for investment properties/loans? Is this something that once you get a deal or deals under contract your partner co-signs and will just take the funds from them?

Thank you in advance!

[Don Konipol]

@Gevin Glines

The problem is that what relatively inexperienced investors perceive as “great deals” are not great deals; in fact they’re usually not even “good” deals.

More experienced investors often find “decent” investments, which require a lot of capital and a lot of risk to bring to fruition, and mistake those for “great” deals.

I have invested in and or financed personally in excess of 500 “deals” or properties in the last 40 years. Probably over 400 of them have been commercial properties. Most are somewhere between decent and good, on a RISK RETURN basis. Many turned out much better than expected, a few a lot worse.

I have uncovered and been able to purchase maybe 5 “great” deals. Not included in this are average or good deals that turned out great through either excessively large risk, large “value added” or dumb luck. I am talking about investment opportunities that were “great” on their face. And I do this full time!

My point is that deals that are great at purchase, and recognizably so, without undue risk, and without the luck of price increases through inflation, neighborhood gentrification, oil discovery, etc., is in actuality quite rare. And yes, when (and if) you are able to negotiate a great real estate purchase, put it under an ironclad purchase contract, and allow sufficient time to close, you’ll have your choice of “money sources” to finance the purchase.