All Forum Posts by: Travis Beehler

If you know a bank that will do a 30 year fixed rate commercial for residential property, I will HAPPILY have a conversation with them. :)

These loans were 5 year fixed, balloon at the end, amortized for 20 years.

Everywhere I've seen that does 30 year, wants to do them in my personal name and then I have debt to income ratios, mortgage limits, etc, to deal with.

Am I just missing something?  Thanks Lee!

Hi all!

I have 7 rentals across 2 commercial lenders.  The first lender had to cut me off from further deals because they got bought out and their rules changed to not allow out of state investors.  The second lender, I'm very happy with.  Nice people, good rates, etc.  However, I have all my rentals under 3 and 5 year terms with balloons at the end.  Everyone has said that if I make my payments in full and on time, and the properties are profitable (both statements are true), then refinancing at the end of those terms and extending another 3-5 years won't be an issue.

Now, I fully believe those people.  However, I like always having a "plan b" in case for some reason their rules change.

So, I ask all of you out there with lots of units:  Do you use multiple lenders in case such a thing happens?  Do you finance longer terms like 15-20-30 years?  Or am I just being paranoid for absolutely no reason?

I really like my second lender, as they've made it incredibly easy for me to pick up more and more rentals, and I would happily stay with them forever, but I just don't like having that feeling of one day the CEO of the bank comes out and says "From now on, we're not lending for X reason" and that reason bites me in the butt. :)

Thoughts?  Thanks in advance!

 Hi Nick!  I PM'd you as well.  I've got several rentals in your relative neck of the woods and would love to chat more about that.  Thanks!

 Hi Nicole, I think I can answer that.

Look into commercial financing. I do all my SFH with commercial financing, and while I do have to have 25% down, I don't have to deal with debt to income ratios, HUGE amounts of invasive investigations into my personal finances, etc, that come along with a normal conventional mortgage. I currently have 7 rentals, and they are all under $60k each purchase price and all done with commercial lending. Once I had my business relationship established with the bank, I simply call them up, tell them the address of the place I'm interested in, and they get the paperwork rolling for me. I then simply cut them a check at the end of the deal for the down payment plus closing costs. No fuss, no muss. :)

Nice!  It's always scary signing that first deal, but it does get easier with time!  :)  Keep in mind, you might get discouraged during this time.  That's perfectly normal.  We've all gotten discouraged from time to time.  It passes.  Just keep focused on your goals, the math involved, and you'll be well on your way to those goals!  Congratulations!

Welcome from just off of 205 in Vancouver! :)

7 SFH at the moment, ALL of them under a PM

Awesome!  I know taking the first step can be the scariest, but if you keep at it, overcome obstacles, and keep your eye on the math, you'll do great!

Congratulations!  :)

What state are you in?  I've had excellent experiences with Countrywide Financial for my rentals.

For me, the cash flow is not enough.  HOWEVER, I am in the part of my "career" where cash flow is going to be much more important than it might be to you.

That being said, how do you think it'll appreciate in the future?  Will you be holding onto the property for a long while?  Will you sell it if it appreciates a lot in say the next 10 years?  I guess if I knew the answers to those questions, then I'd have a clearer picture. :)