How to get mortgage loans for single houses after the 10th property?

[Kurt Chen]

I am buying my 3rd investment property and found that I am reaching my loan capacity very soon. The bank will only loan me money for one more property. Even if I am lucky to get mortgage loans to buy 6 more houses to reach a total of 10, Fannie Mae would not allow more loans beyond that.

How can a small investor like me get loans for houses after his/her 10th property?

[David Beard]

You'll need portfolio loans, made by local banks and credit unions and held in their own portfolios. These are not 30-year fixed rate loans, typically these smaller banks don't want to lock a rate longer than 5-7 years (though they'll amortize it over a 20-30 year period). So it might be fixed for 5 years, then begin to float at something like 1yr treasury + 3.25% (referred to as a 5/1 ARM).

Google the BP site for "portfolio loans" to get more information. (Type "site:www.biggerpockets.com portfolio loans" in Google search box.)

You'll have to just pick up the phone and start calling your local banks and credit unions. These are smaller banks located solely in your geographic area.