Community Banks or Credit Unions

[Algie Horton]

Hi everyone! I am just starting my investment journey and I'm looking for investor friendly lenders. I'm told community banks or credit unions are best. Can anyone suggest some lenders in Chicago (preferably with branches on the southside or south suburbs) that I should look into building relationships with?

[Kevin Romines]

While community banks and credit unions can be very beneficial, don't forget that a mortgage banker or broker can also be very beneficial. Its all about connecting with a Loan Officer that has all the products that you will need as well as the experience closing the type of loans you will need. Most loan officers don't have the skills or experience working with investors. Or they shy away from those kinds of loans as they are perceived as more challenging than a straight forward purchase or refinance. 

To get the referrals that you will need, call several local title companies and ask who they know that works with real estate investors. They will know as they close the loans for these loan officers. I would set out asking them if they do the following loans and how recently they have closed these loans. Conventional / Government / Non-QM / Fix N Flip / Hard Money / Commercial / Blanket / Bridge / HELOC's just to name a few, but you want access to all these loan types.

Boil it down to your best one and go with that person. Don't quibble over as much as a .5% rate difference, the value is in the relationship and guidance that loan officer can help you with. Besides if you see a better rate elsewhere on the same loan type, just take that info to your loan officer and see if they can come close or even match the rate. its their level of knowledge and communications that is most important here. 

I hope that helps?