Home is not in a HOA, not really in a subdivision, we're just one street with maybe a dozen homes.We have deed restrictions, but those restrictions pertain to what type construction is allowed and livestock (only horses allowed, with a limit of 2 per property).

I am not sure if there have been any legal rulings on using this "loan" for self-dealing activities, but from everything I have read there is no restriction on what you can do with these funds.

I really like purchasing via seller financing its so much better than dealing with banks and all their exorbitant fees, delays, and restrictions.

Just seems strange that such a restriction would continue to apply once the property is fully paid for.I ask because I'm staring at a great wholesale deal (would be my first).

Any home 4 units and under will have exactly the same funding restrictions/rules.

I absolutely agree that there are valid reasons, and I sometimes do it myself.For me, the most common reasons are:1. 90 day deed restriction -- I don't feel like waiting 90 days to resell to a retail buyer, as i can do the rehab quickly.

It seems to me the more restrictive and bureaucratic other places become, the more TX benefits from companies and jobs coming in to escape overly burdensome policies.

My question is, are there any rules/restrictions that lenders have when financing your 2nd, 3rd, and 4th investment property?

I quote from the article at www.themortgagereports.com, which can be found by going to the linked thread I mention earlier in this thread:"Delayed Financing Rule mortgages are subject to a 70% loan-to-value limit except for investors with more than 4 properties financed.For investors with more than 4 properties financed, the Delayed Financing Rule LTV limit is 65%, and other 5-10 Property Program restrictions apply, too."

The big problem he'll run into are the banks where there is a resale restriction -- in those cases, he won't be able to wholesale unless he takes title in a trust or business entity and assigns/sells the trust/entity.