Best way to finance my first rental property

[Mike Rosso]

Hello BP community. I'm looking for some advice on the best way to finance my first rental property. The property I'm looking at is currently on the MLS priced around 100k. The unit is already rented an does not require any immediate rehab. Here are my options. 1. Traditional bank financing with 25% down using my personal savings account for the down payment. (This would pretty much liquidate my personal savings account.) 2. Traditional bank financing with 25% down using my primary residence HELOC for the down payment. (My HELOC is up to 50k) 3. I am not familiar with seller financing at all. I have read about land contracts on the forums. Would this be a good option to look into or is there another option I am not aware of? Any advice would be appreciated thanks!

[Chris Mason]

Originally posted by @Mike Rosso:

@ Chris Mason it is actually a duplex sorry should have clarified that. I contacted my local bank who carries my mortgage and they said for an investment property I would need 25% down?

 Ah, yup, Fannie and Freddie both require 25% down for non-owner occupied 2-4 unit properties.