Meeting with my bank next week

[bjl584]

I just set up a meeting with my bank to get pre-approved for a mortgage for rental property. It's just the first step, but I'm ready to start branching out and include real estate in my portfolio.

[Fishindude77]

Good luck !
If you are going to run a business or use credit frequently, I think getting to know your banker and having these face to face meetings is important. Too many want to do everything via email and over the internet these days without any personal interaction. That relationship may help you out of a bind sometime when you are in a pinch and need something in a hurry.

[bjl584]

She asked if I wanted to set it up online, but I told her no. I wanted to meet face to face.

[TexasHusker]

A good banker is essential for ventures such as this. Some banks really like working in this space and have much more liberal guidelines. It isn't traditional home loan stuff so they are going to keep it "in house" and charge you higher rates, but that's just the cost of doing business.

I know of a fellow with a couple hundred rentals that one bank owns all of the paper on.

[bjl584]

Update on this.

I'm pre-approved for $100,000 on an investment property. I'm wondering how to pull the trigger on the first unit. I can go the traditional route with 15% down and a 30 year note, or I could do what a friend of mine did and do an all cash deal on a rehab, then go back to the bank and do a cash out refi, and use the money for his next property.

[TexasHusker]

Update on this.

I'm pre-approved for $100,000 on an investment property. I'm wondering how to pull the trigger on the first unit. I can go the traditional route with 15% down and a 30 year note, or I could do what a friend of mine did and do an all cash deal on a rehab, then go back to the bank and do a cash out refi, and use the money for his next property.

To clarify, are you approved for up to a $100,000 loan?

What are you wanting to do with the property - rent it, rehab then rent, rehab then sell?

[97guns]

Update on this.

I'm pre-approved for $100,000 on an investment property. I'm wondering how to pull the trigger on the first unit. I can go the traditional route with 15% down and a 30 year note, or I could do what a friend of mine did and do an all cash deal on a rehab, then go back to the bank and do a cash out refi, and use the money for his next property.

My plan for a real estate portfolio in my early planning stages was to buy 1 all cash and save until I had enough for the second property, then cash out and buy #2 all cash, always keeping 1 property paid off, rinsing and repeating until I built a portfolio

Just so happened the market crashed, I was able to buy 4 for the price of 1 and tossed that plan to the curb

[97guns]

What kind of interest rate if you don't mind me asking

[bjl584]

To clarify, are you approved for up to a $100,000 loan?

What are you wanting to do with the property - rent it, rehab then rent, rehab then sell?

Yes. I'm preapproved for up to a 100K loan.
Plan is to buy and rent or buy rehab and rent. Not interested in flipping.