Portfolio lending to buy more units

[Austin Brushett]

I am looking to buy an off market duplex in my area and am contemplating trying to package a couple houses together as the collateral for a portfolio loan. One house has a conventional mortgage, one I am working on right now is on a HELOC, and the duplex would be bought in the portfolio loan.

I am trying not to sell other properties or use any of the cash that I have sitting on the side to make the purchase and thought this might be a good option. Both houses I am currently thinking of packaging this loan with have high equity so loan to value ratio would not be an issue and the rental income form all 4 would more than cover. 

Just looking for opinions on this type of financing. What are the benefits and downfalls? Just starting to explore the idea 

Thanks