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Answers (9)
- Rudi Hofmann, "LUXURY HOME LOANS CA"
- Contributions:7435
Allison,
The link below is Fannie Mae Loan Adjustments. On page 2 is Credit Score Adjustments and on page 3 is Investment Property Adjustments.
The percentages are on the Loan Amount. https://www.efanniemae.com/sf/refmaterials/llpa/pdf/llpamatrix.pdf .... Happy funding, Rudi
PS: After I wrote this I noticed the date. Maybe someone else will benefit.
The link below is Fannie Mae Loan Adjustments. On page 2 is Credit Score Adjustments and on page 3 is Investment Property Adjustments.
The percentages are on the Loan Amount. https://www.efanniemae.com/sf/refmaterials/llpa/pdf/llpamatrix.pdf .... Happy funding, Rudi
PS: After I wrote this I noticed the date. Maybe someone else will benefit.
- Sandy Thacker, "CBC National_Bank"
- Contributions:54
The pricing of the loan is much better at 75% LTV or less.
- Johnny James, "Palmdale Mortgage"
- Contributions:406
All lenders do not require 25% down on investment properties. Some are higher very few are lower. All will require some contribution. If other factors warrant you may get away with 10% down.
- Bentley Advisors
- Contributions:294
Your lender speaks the truth.
- Michael Dunn, "MichaelSDunn"
- Contributions:469
- Tom Matthews Joanne Taranto, "TomAndJoanneTeam"
- Contributions:528
Allison:
The answer really depends on your investment history. Do you own other properties? This is an important question.
Investment properties are a much higher risk and the rational is that if an investor puts 25% of the sales price down then they will be less likely to walk away when things get tough.
If you are finding the down payment to be a problem, either look at lower priced properties and work your way up or find owner financed properties.
Best of luck
The answer really depends on your investment history. Do you own other properties? This is an important question.
Investment properties are a much higher risk and the rational is that if an investor puts 25% of the sales price down then they will be less likely to walk away when things get tough.
If you are finding the down payment to be a problem, either look at lower priced properties and work your way up or find owner financed properties.
Best of luck
- Real Estate Investments, "Marco Santarelli"
- Contributions:264
The general rule of thumb is 20% down these days. However, you can still invest in real estate with less than 20% in some circumstances. For example, two of our investment offerings can be purchased with only $5,000 down. (That's less than 5%.)
You can visit our website for complete information under "Investments".
Marco Santarelli
You can visit our website for complete information under "Investments".
Marco Santarelli
- Robert Lowery, "Bob Lowery"
- Contributions:2097
The pricing adjustment for going 80% on an investment property is 3 points. Here is the Fannie Mae pricing adjustment....just look on page 3.
Pricing Adjusters
This means that it is a 3 points adjustment to pricing from the owner occupied rate market rate. It can be absorbed into the rate, which would cost you approximately .5% in rate. That is not too bad.
I would recommend giving this guy a call. He is in Georgia and adds much value to Zillow.
Clay Branch
Good luck.
- wayne lancaster, "funds2"
- Contributions:1172
No.....the rate is better with 25% down though. Post a loan request on Zillow and see what your options are. 3 points are not typical.
Do all lenders require 25% down for investment properties?
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