40 year loans - Any suggestions?

[Tony Munoz]

I’m looking at creative ways to purchase the property next to two of my other rental properties.

Id like to take advantage of a 40 year loan term to help make the cash flow more attractive. On a conventional 30 it’s only $235/month.

Are there any reputable banks that offer 40 year terms and what, if any, is the negative with this strategy?

Thanks in advance folks. I’m a newbie so apologize for what could be a dumb question.

Tony

[Stephanie P.]

@Tony Munoz

No banks that I know of offer a 40 year, but some DSCR lenders do. Usually it's a hybrid product with an initial 10 year interest only period and then a 30 year fixed from there.