How to borrow more money for investment properties

[Hoang P.]

Hi everyone, I don't have much experiences in borrowing money and would like to ask for advices. Here is my sum up situation:
I bought my 1st rental property in Oct 2008. Currently I own 5 rental properties + my Home. I don't have any mortgages except for the $90K equity line of credit I took out on my Home to buy the last 2 rental properties. So right now, all I owe is the $90K on the equity line at the interest rate of 2.74% with a payment of $190/month. All 5 of my rental properties are renting to Section 8 tenants for the total of $5050 per month (all 5 properties are on 1 year lease with Section 8). I currently don't have a job with a credit score of 725. My wife is working with a salary of 45K/year. Her credit score is 840.
My question is: how do we go about borrow more money to purchase more investment properties? What are my best options? Any suggestions is greatly appreciated. I'm in Louisville, Kentucky BTW.

[Luis A.]

Originally posted by Hoang Phan:

I currently don't have a job

That is the kiss of death right there :cry:

I agree with others that your best bet is to try and refi but believe me, and I say this from experience, most underwriters will only focus on the lack of employment. They want to see income from a W2. For the properties they will only count maybe 75% of rental income.

Ask other investors and find small, local banks where you can actually talk to the person making the lending decision. Go ahead and calculate your debt to income ration and put together a portofolio of your rental properties so you can show you know what you are doing. Also put together a personal balance sheet and be ready to back it up with tax returns.

Please let me know how it goes.
I'm not being negative I am just saving you grief, I hope you can prove me wrong.