All Forum Posts by: Anthony Franco

 That's what I was thinking. That if it's a competitive rate then we might as well go for it. It's great to get advice from others with more experience with this  👍. Appreciate it.

 Exactly, it's a local bank that doesn't offer 30 year fixed for rental properties. When you say you get 15/30 without seasoning, it means you can get a new one without having to wait for a previous one to season for 6 months? So the advantage is you can get them more frequently? Am I understanding that well?

We're mostly looking at just getting one property for now but it's nice to know there is sometimes flexibility with these other types of loans.

Thanks for your input. What do you mean by the school district example?

Thanks for your input. I got a response from two other banks and I'll be seeing what they offer. But it's good to know this is an option if the terms make sense. Thanks again.

I'm looking into buying my first rental property, it will be a single family home. I talked with a local bank and their only option is a 15/30 balloon mortgage. It’s a 30 year amortization, but has a balloon payment at the end of 15 years.

Seeing as I was planning to keep the property for only around 10 years, I don't see any drawback with this type of loan. But it's not the usual loan I've always read heard (30-year fixed).

So I was curious to know other's opinions. Anything I should watch out for regarding this type of loan?

Thanks @Jeff Stein and @Joshua D. Your responses helped me dig deeper and learn about these numbers. Makes sense why real estate is such a great option. 👍

Hello BP Forum,

I'm new to real estate investing (read tons on the topic but haven't jumped in just yet). I had a general question that I'm hoping someone could clarify.

I've noticed people mention, for example, that they purchase a property for $100,000 and it cashflows $200/month. That's after accounting for vacancies, repairs, property management, etc.

However, wouldn't there be additional benefits than just the $200/month? For example, increased equity in the property from paying down the mortgage. As well as tax benefits such that could lower your overall personal tax bill, etc.

So in the end, your overall benefit from owning the property would be even more than just the $200/month cashflow, correct? Or am I misunderstanding something? Because I'd like to determine the total benefit from owning a property before investing. So this is something I've been wondering.

Thank you,

Anthony