Financing first deal as a 1099 contractor

[Emanuel Papadakis]

Question: I am trying to figure out how to finance 4+ unit MFH investment properties as a 1099 contractor thru a bank only. Currently I own a SFH with 58k equity at a LTV of 83% and have approximately 25k to put down. My yearly tax returns would not qualify.

[Travis Sperr]

I see this all the time -  I hear people say: "I am self employed and take a lot of write offs" - is your business profitable? if it is profitable you would have more income than you could write off.

If you want to invest in real estate long term with conventional or bank financing- you will need to decide if you will pay taxes on your income and invest in real estate or not pay taxes and not invest in real estate. In today's lending environment lenders are looking at the cash flow of the borrower and the asset.

If you prefer to not show/make an income that reports to your tax return you might consider doing owner finance deals.

Not trying to be hard on you - just stating what I see.