Just got my first offer accepted!

[Ray Lai]

Hey guys,

I literally just got my first offer accepted on my first investment property. So far I talked to my mortgage broker at where I bank, Navy Federal Credit Union and they are only offering 4.625% (no fees/points) with 25% down. I also applied with my friend's recommended lender and haven't heard back yet. I have the cash to buy the property all out, but I really want leverage because I don't want to consume all my cash on this deal and it juices the COCR.

Original Ask: $49k
Initial Offer: $40k
Their counter-offer: $44k
My counter-offer that was accepted $42k.

This is from an estate sale listed on MLS for a 3/1 SFH 865 sq. ft,1950

Rent after installing washer and dryer and re-painting interior will be about $950/mth

Anyone got any good mortgage broker recs?

Thanks,
Ray

Also one other question. I read and heard that you can buy your first 6 investment properties with 20% down and last 4 with 25% down via FM loans. Anyone know if that's true or not?

[Stephanie Medellin]

@Ray Lai  For that small of a loan amount I would say consider yourself lucky for finding a lender willing to make a $30K loan!  The difference in payment for every 0.125% is about $2-3 per month on this loan amount, so shopping around is going to save you literally $25-35 per year.  For something like this just go with whoever is offering the best service.  4.625% for that loan amount is right on point anyway, at least for a 30 year fixed.  Your PI payment is going to be about $160!

Actually you're probably better off going with a 15 year and you should be able to get around a 4%.   Again though, the difference in payment is still only $2 for every 1/8%.