All Forum Posts by: Jennifer Story

Currently we own a home that we were intending on renting out since we refinanced and secured a great mortgage payment which would cash flow $3-400 per month . When looking into buying another the banks ask, well is this a investment property or a 2nd home? How as a new investor are you able to come up with the down payments that are required once you have a home already in your name (jointly),  as 2nd homes and investments home require so much down and a higher rate. I don't want to sell this property if it cash flows. I feel like it makes sense to hold on to it. However , we have essentially been house hacking if you will and want to continue that trend moving forward .Buying , living in it and adding value over a small period of time and then refinancing and renting it out . In between we would be looking at other small Brrrr methods that are coming on to the market. Any advice on a new loan without so much down?

Thanks so Much!

Gary , I am not sure about NJ but I know I ran into a similar situation. I was able to contact the secretary of state and pay a filing fee ($30 in FL ) to change or add an officer to the LLC, and or Corp.

Scott , please add me to your list as well. [email protected]

That makes sense , thanks John!

Thanks Yusef. I think the HELOC would only hurt me here since I cannot get what I need to get at least 1% out of the property. It would take so much more time to pay off and I would loose the tax credits of selling now .

Thanks for input @Michele B. Essentially that is where I stand right now , determining what I want for my investment. However, my plan is to stock up on cash flowing properties mainly multi unit , and buy some flips in between. Ultimately the purpose of the thread for me was to determine what the pros and cons were as far a financing a residential multi unit or commercial. I have found one of each that I am interested in , and I know once you cross over to commercial, a-lot is different as far as financing , insurance , liability , loan term . interest rate , taxes etc.

I am hoping with the commercial 5 unit I can get the seller to finance which will eliminate some of those concerns or temporarily re direct them until maybe the need for re financing comes into play. 

Thanks for the info on insurance. It was my understanding 5 or more is commercial and 4 or less is still considered residential , of course depending on zoning . 

@Matt Smith thanks for the input that was very helpful. If purchasing a 5 unit complex ( commercial) that is fully occupied and income generating , the deed should be recorded in the name of the LLC ? Do you cover additional liability insurance or the home owners policy is enough ?

The subject property is in Kissimmee, Fl. I have since relocated to metro Atlanta and have conventional new mortgage. I think based on many great points mentioned in this thread the plan will be to sell without a doubt and look for a multi unit buy and hold. 

Looking for some pro's and con's to the 4 or less residential multi-unit Vs. 5 or more commercial unit. What have you found to be more or less challenging to obtain funding between the two? Did you use a LLC, or personal ?