You get all the debt pay down.

It just makes life easier when you go to lender 30-45 days after closing to put longterm debt on the property.

Banks also look at your income, reserves, DTI (debt to income), Employment duration to name a few..

Instead of going into debt to save, pay off your cc debt. 

I hate debt as much as anyone on here, but having more options is better than less.

You said that the market in which you are interested has homes which are extremely outdated and have a lot of potential, so if you're attempt to add a lot of value, it may be more worthwhile to apply for something like an FHA 203k loan or (if you or a spouse are military) a VA loan combined with the VA rehab program.If you just get a 0% down loan on an extremely outdated home, you could still be looking at substantial out of pocket repairs (not to mention that many banks are hesitant to loan on homes which need work).

Now, in my multifamily business, my team has over 25 years of combined experience, and on the single-family side, I have an amazing business partner that teaches me new things every day.

For a conventional 97% LTV loan, you are looking at a minimum credit score of 620, and you can have a debt-to-income ratio of up to 50% per automated underwriting system approval. 

Hi,Can someone help me understand what is the difference between Preferred Capital and Debt when it comes to Real Estate.

I payed off all my credit card debt and my score almost immediately rose by 40 points.