Financing Options for First-Time Multifamily Property Investors

[Thomas James Calderone]

Looking to purchase my first Multifamily within the next year, curious to hear what other investors have done when first starting out. Were there lenders you regret using or advise to use? 

Any advise would be appreciated - feel free to ask questions If I missed anything, happy to answer. 

[Greg Kasmer]

@Thomas James Calderone I agree with Wes in that a regional bank would be a good first step. I've personally found regional credit unions (i.e. 5-20 branches or $1-5B in assets) tend to be a good target for a first multi-family purchase. On aggregate they offer similar terms (interest rate, terms, etc...) then "agency debt" (Fannie and Freddie), but can generally be more forgiving on the experience side as well required reserves. The only downside might be a slightly higher rate (.25% or so) as well as short amortization schedules (20-25 years instead of 30 years). I would suggest calling 5-7 regional banks/credit unions and I think you'll likely find a few willing to work with you. Good Luck!