Deciding on purchasing a couple of duplexes or a small multiunit.

[Tom I.]

Hello BiggerPockets Friends, My name is Tom and I’ve followed these forums and BiggerPockets podcasts for a couple of years now, it’s almost time for me to make a big decision. I was hoping I could get some advice from some of the wise investors here. So essentially I am going to sell my first property. Once all is said and done, I will have roughly 200K in savings. I have great credit, but only 6 months of landlord experience. This has lead me to a dilemma. Should I purchase a couple of duplexes and put a hefty down payment on each, which I can surely qualify for? Or should I try and purchase a 6-10 unit? For years buying a small multi-unit was and is my goal. But I’m not sure if my limited experience would binder my chances of obtaining a commercial loan. Thanks for any help, and Im excited to develop some constructive friendships here! Tom

[Greg Scully]

@Tom I. - Or should I try and purchase a 6-10 unit? For years buying a small multi-unit was and is my goal.

Go for your goal!  If you use a property manager than lending should be fine, if you're self managing you may get some push back.  Don't think that commercial lending is more difficult, it's just different.

Commercial Mortgages 101 by Michael Reinhard is a great book that breaks it down.