Conventional or Commercial Loan on my Quadplex?

[Pat Peri]

Hey guys, I am now shopping around for lending on the Quadplex. On the podcasts I hear conventional vs. commercial and understand the pros and cons of both. I am wondering what you guys are doing. This is my first Quadplex and everyone I am talking to about a conventional loan needs 25-30%. Should I do a commercial loan even though the rates are generally higher? Thanks

[Joseph Gozlan]

@Pat Peri commercial loan will require 20%-25% down payment as well. If you can qualify to a conventional loan, there is only one reason I can think of to go commercial ovar conventional and that is that a commercial loan will be against an LLC while a conventional loan will require your personal name.

The question you need to ask yourself is does it worth it to get a reduced return for that LLC protection?