All Forum Posts by: Clint Wenk

Thanks for all of these thoughts, Dan!

I spoke with my lender and they need to see signed leases and receipts from 2 months payment before they would include rent as income.  Says this is according to Fannie Mae requirements.

I explored seller financing but she wanted prime +1% and full asking price and was not able to convey existing furniture to me... so it was less attractive to me.

We'll see if it sits on the market, and comes down in price and I can then make another offer.

Thanks again!

Hope to find some help from the Bigger Pockets community!

I have some questions about qualifying for another mortgage when I have outstanding mortgages on investment properties.

So here's the scenario:

I am purchasing a Quadplex on 6/28/2024 and it's new construction. It will take a couple months to fill it with tenants. The mortgage will be for

approximately 900k at 4.25% and in my name. I have an LLC that I just created that I plan to move that property into.

I am currently living in a 3/2 valued at $600k with an outstanding mortgage of $300k. I would like to retain this house and turn it into a

mid-term or long-term furnished rental.

I would like to move out of that house and into a bigger primary residence which would likely be a $750-850k purchase price. I can bring 200-300k in down payment to that closing. I would like to have a mortgage payment in the $3500-$5000 range.

I am just getting started in real estate investment properties and don't know enough about how other landlords show that the other mortgages are covered by rents and qualify for additional loans?

I suspect that until I get both investment properties fully leased that my debt to income ratio will be too high.  If I can show the signed leases, is that enough evidence for a lender?

I have found a property that I like for my new primary residence and I am trying to see if the seller is open to a longer duration close where I rent from the seller for 90-120 days to allow enough time for the investment properties to get leased.

I am also considering asking if they would be willing to explore a seller-financed option but I don't know how to structure that so that a regular seller might find that more attractive than a regular closing.  I would be interested in talking to anyone that has structured some owner financed deals to understand how to approach that with the seller.

thanks,
Clint