Apartment building as a first investment

[Ivan Roberts]

I was wondering if anyone on this forum has or is currently an owner of an apartment complex. I am interested in an apartment complex, 12 units, with a tag of $339K. I have some money, but not the required 30% down to get financing. If there any programs, or lenders that could invest in me in order to acquire this property?

[Jimmy Moncrief]

Ivan

There are several tactics you could use.

First and foremost though, find a community banker and they should let you get 85% financing if you move non-interest bearing deposits over to their bank. Plus offer auto-pay out of this account.

The next is you could pledge lendable equity in other properties to this loan facilitity to get you where you need to be LTV wise.

Finally, do you have an outside investment account you could also pledge to bring down the LTV?

Hope all this helps.

PM me if you need any more tips - I'm an underwriter and finance these every week. Trust me you can get this done!