Financing for rental properties

I was wondering if there is any way to get 100% NOO investment properties without using a HML, Private Lending etc… Is it possible to get a lender that will allow a 2nd mortgage. If so, what are the requirements?

A second mortgage from who? The seller? The bank?

Local banks will allow seller seconds all day long.

Propertymanager says that his bank will loan 100% of the acquisition price because he buys at deep discounts.

I buy at deep discounts also, but my bank will only loan me 80% of the lower of the purchase price or the appraisal. So even if I’m buying at 50% of the appraised value, they’ll still only lend 80%. He says that his bank will loan him the full 100% if he gets a deal with the same discount. So apparently those programs do exist.

The second mortgage would be either the owner or another lender. I would think a lender would be a better source for second mortgages. Should I try local banks first? I’ll ask around. If I strike out, I’ll look on this site. I would expect lenders to be strict in light of the current atmosphere.

Yes, a lot of investors use Business Lines of Credit to finance their investments. There are companies that sell businesses with that can give you up to $250,000 in business lines of credit.

Local banks will be the only place to go either with a second lien or for a second lien. Most if not all conventional lenders have capped their LTV/CLTV at 90% so even with a second lien you will still need to come up with a down payment. The problem with 100% financing is that unless you are buying at at a HUGE discount (property manager buys at 50 cents on the dollar) the property will have trouble cash flowing. Is it worth all of the trouble of managing a rental property if it costs you $100.00 a month?