Financing a property with eight units

[Joshua Feit]

I am working on a deal in Atlanta with eight town homes on one property. So far, I can not find a bank that wants to touch the loan. Purchase price is $250K, and we plan to pay 25% down. Any ideas of how to get this funded?

[David Krulac]

Where does the current owner have the property financed? You can't get a a residential mortgage, you need a lender that will write a commercial mortgage, portfolio mortgage. This would typically be a brick and mortar bank or credit union in the vicinity of the property, like within 50 miles of the property. Portfolio means that the lender will not be able to sell the mortgage on the secondary market to Fannie Mae and Freddie Mac, and the lender keeps the mortgage at their own institution.