How To Maximize Conventional Loans

Question

I will be getting married in a month, and would like to make sure I am setting us up for the best possible situation with our investing going forward.  I currently own our primary home in my name, as well as 3 investment properties in my name.  I understand that each person can get up to 10 conventional loans in your name.  However does that change when you get married?  Does having a home in my name, also count as a loan in my wife's name?  Can she have 10 loans in her name as well if she takes my last name, or would she have to keep her last name in order to do that?  Thank you for any and all advice!

Bob Okenwa · Answer

@Dan Shelhamer

Congrats on your upcoming wedding. Since you are not in a community property state and it's not a government loan, you should be able to keep getting homes in your name and it would only be considered your property, and the same for your soon-to-be wife. Sharing last names would not change this fact. Of course you'd want to verify and discuss this with your lender and/or attorney as I am not fully versed in the laws of your state.

Grant Greene · Answer

From a conventional loan standpoint, the folks who have previously commented are correct: 10 and 10.  However, it is possible to acquire and finance an UNLIMITED number of properties.  Please let me know if you'd like me to provide you with more information.

Daniel Lehrman · Answer

@Dan Shelhamer I second Jeff's comment.  Coming from Michigan to AZ, there's just so much more to do.  Also, you see the sky a lot more, not to mention "cold" to Phoenicians is 50 degrees.  I could never go back

In fairness, I do miss the small-town feel of where I'm from, and it's very brown here in Arizona with not much water or trees.

Jeff Schneider · Answer

Dan, I moved from St. Charles IL and never looked back, I'm sure you will love it here too. There's so much to do our here and there's a lot of opportunity.

If you are buying properties and keeping them in separate names in AZ, one spouse will need to sign a disclaimer deed.

Harjeet Bhatti · Answer

Make sure you are not coming on title to maximize 10 properties.

Bob Okenwa · Answer

@Dan Shelhamer

No prob! Here's a pretty good explanation of community property: https://www.legalzoom.com/articles/the-ins-and-outs-of-community-property-law. In terms of housing, if the borrower (your fiancee) has an ownership interest in the property or is obligated on the mortgage, the property is included in the maximum financed property calculation for her as well as you from what I've read. Not a realtor pro, just relaying what I read about the stuff when I got married 2 years ago and we just bought a house about a year ago.

I personally love it in Peoria. It's on the outskirts of town and there's a lot of open space and foothills out here. I live in north Peoria and I'm like 10-15 minutes from Lake Pleasant. All of the areas you named are great places. I guess it depends on what kind of life you lead. Peoria is a little further out, Glendale neighbors Peoria and is basically just as far, but a little bit closer to things such as the football stadium. Scottsdale is expensive but it has an excellent downtown and there is a lot to do on that side of town. Gilbert/Chandler are basically the Peoria/Glendale of the Southeast Valley. These 4 areas will give you more land as they are further away from the center of the city.

Phx is very different than the Midwest. I've been to Michigan a few times and you can see the difference when the plane is landing. All green where you're at, all brown out here. 90+ degree heat for about 5-6 months a year. Houses are much closer together, but are also going to be a lot newer than most areas in the Midwest. As I said earlier, it all depends on what kind of life you lead for you to be happy out here.

Grant Greene · Answer

Happy to help, @Dan Shelhamer. I'm sending you an email now.

Lane Kawaoka · Answer

@Dan Shelhamer thats what I thought but when you go above the 1-2 M dollar mark you get away from all the Mom and Pop investors bidding properties up. I can tell you that anything 2-50 units is just crazy competition but people who do not know how to analyze properties correctly.

Dan Shelhamer · Answer

@Lane Kawaoka thank you for the info!  I have heard about syndications.  I would think your return on your money invested would be much smaller on a syndication since their are so many people to pay out?  Also, with a syndication, do you actually own the property?  If I invested in a syndication, would I still receive the same tax benefits?

Dan Shelhamer · Answer

@Grant Greene thank you for the info!  I definitely am interested in learning more about how to finance an unlimited number of properties.

How To Maximize Conventional Loans

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