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What type of mortgage loan terms can one expect for the purchase of a second home \ rental property ? Assuming that the investor had a 750+ fico and low debt...

Thanks !

spoonmor
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October 10 - Wildomar
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Investment property can be purchased and financed with 25% down and you cannot have more than 5 properties including residence.
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October 11
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spoon,

In most cases, the "terms" (length of mortgage and the interest rate) of the mortgage would be the same regardless of the occupancy;  however, the costs for the same rate are dramatically different if the property will not be a primary or 2nd home.  Downpayment minimums can vary as well as MI companies are unwilling in most areas of the country to provide MI on a purchase.  This translates into 20% or higher down payment requirements.  The price hits for INV loans worsen or get more expensive the closer you get to 80% LTV.  Good luck.
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October 11
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Lenders will almost in all cases require that the home be in a vacation area.  If you are going straight investment, you will have a larger down payment requirement.

Good Luck.
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October 11
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Big difference between a 2nd home(not rented but used as a primary residence part of the year) and an investment property (rented out most of the time),
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October 11
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depends on the property type, the down payment and if its a second home or an investment property, also if agency or jumbo pricing. (loan amount and county)
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October 10
 

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