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Updated about 3 years ago on . Most recent reply
First rental property
Hello all. I'm a rookie investor and need some advice. I am currently in contract on my first investment property. I was using lending Company A who gave me a 4.2% on a 30 year with 25% down. Company B stated they could give me a 2.99% with the same amount down (25%), same length, and I could borrow more money. After deciding to use Company B and having a pre-approval for the same property, they came back after being in contract and said they could only do a 15 year at 2.99% because the amount I was borrowing (110k with 25% down) was too small to qualify for a 30 year. Should I go back to Company A so that I have more cashflow each month (worried about closing being delayed if I switch) or stick with Company B? I should mention that there is a $205/ month condo feeThanks in advance for the advice.
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![Ronald Stephenson's profile image](https://bpimg.biggerpockets.com/no_overlay/uploads/social_user/user_avatar/1623035/1621514248-avatar-ronalds94.jpg?twic=v1/output=image/crop=675x675@0x21/cover=128x128&v=2)
Speaking from rental analysis and little practical experience, what your stating leaves me with one main question.
1.) What is your primary objective with the rental?
If it is a goal to maximize cash flow, then Company A is your answer.
If the goal is to remove the liability of the property, then Company B.
Of course, all dependent on the numbers of the properties and the earning potential.