It's been awhile...

[Tami R.]

So we just closed on our first house (it took 3 months!) - crappy foreclosures! haha!
We have 2 more houses waiting to close.
I have a question... I know all states are different but here's my deal. On the first house we got a mortgage (the other houses will be paid with cash). My bank said I have to have a commercial loan because it's a rental property and my interest rate is 7.11% - now I was talking to some others and they said I should have been able to get a residential loan with a better rate (fixed). The rate of 7.11 is fixed for 5 years and then it can go up and down per annum no lower than 6% and no higher than 13.3%. We bought the house for $27k and we put down $7k (required) so our loan is for $21k - mortgage with escrow and insuranace is running $303 per month - potential mo. rent is $550.