I have 750+ credit score and good amount of capital (30K). I have heard about doing multiple properties at one time (4-8). Does anyone have any info on the best way to go about this? Please let me know.
Hot-Dog
if you are using a broker for financing then you should let them know what you are doing. have them submit approvals for each different property to separate lenders. do not send 123 elm to abc fonance and def finance and then send 456 oak to the same ones. should be a piece of cake just schedule closings so you wont lose your hair
EASY!!!
I use lenders that have certain limits and use them up first such as novastar only want an investor to have 5 investment loans period so the first 5 loans go there.
Then say I go to several other lenders that have this policy and they have a limit of 5 loans/or loans to equal a million dollarswhich ever comes first.
Then I go to an other lender that I can close 10 Loans with and they alow me to close all 10 at once if you wanted too.
There is no limit of loans a person can get.
If you have 30-40 loans on your credit no big deal
Go to lenders that don’t care how many properties you own.
Just so they can service you the way you need to accomplish your goals.
it all depends on what you are trying to do. If you are buying 4 properties listed as investment properties that is easy just a lot of paperwork. If you are trying to submit them as owner occupied well thats the tricky part. You need to find a broker who will also do this for you because it is his neck on the line if you get caught. However those are easy to do I would prefer to send them in all at once rather than property after property.
TO THEMORTGAGERX
What are you talking about?
it all depends on what you are trying to do. If you are buying 4 properties listed as investment properties that is easy just a lot of paperwork.
If you are trying to submit them as owner occupied well thats the tricky part.
TRICKY PART? WHAAAT?
Why are you even bringing this up are you ADMITTING THAT YOU COMMIT LENDER FRAUD
OWNER OCCUPIED IS USED ONLY IF THEY ARE GOING TO LIVE IN IT AS A PRIMARY RESIDENCE OR A SECOND HOME PERIOD !!!
There is no grey just BLACK AND WHITE on this issue.
You need to find a broker who will also do this for you because it is his neck on the line if you get caught.
INVESTORS DON’T NEED TO FIND A BROKER WHO WILL LIE FOR THEM.
Again are you saying you are the GUY that is willing to COMMIT FRAUD
However those are easy to do I would prefer to send them in all at once rather than property after property.
YEAH! it is QUITE EASY FOR YOU TO DO OO properties one at a time and
COMMIT FRAUD AS YOU ARE DOING THEM ONE AT A TIME
There is no such thing as a gray area? isn’t a stated income which banks offer the biggest gray area in lending. I have had banks call me up and TELL ME what to put in an application so they can approve a loan. I provide a service for my clients. I provide business for the banks. My first and biggest concern is and always will be whats in my clients best interest. I find it amazing that you claim to be a “rich Mortgage broker” and never had to walk the tightrope for a client.
The way i see it is banks are in business to lend money. If they don’t lend money they dont bring in profits. Clinets need money to purchase properties. It is my job to do a service to a client( and do it better than anyone else) and making sure the client can afford the mortgage i am providing them with. If I feel they can’t afford it i wont do it. I am not having that on my head. Everything else is just talk.
There is no such thing as a gray area? isn’t a stated income which banks offer the biggest gray area in lending.
I was not discussing income documentation I was discussing NON 0WNER or OWNER Occupied.
It is like you are either pregnate or not. No GREY area!
I have had banks call me up and TELL ME what to put in an application so they can approve a loan.
Again you are admitting that you do lender fraud because the AE is telling you to do so What??? Don’t you know that the FBI is big on this.
So what you are telling me is that the Devil made you do it i.e. the lAE just so that you could get the lender to approve it.
Just so you and the AE get a commision
S0 YOU CO-CONSPIRE?
Again you do not make any sence?
I provide a service for my clients. I provide business for the banks. My first and biggest concern is and always will be whats in my clients best interest. I find it amazing that you claim to be a “rich Mortgage broker” and never had to walk the tightrope for a client.
You are right on this one thing I DO NOT walk the tight rope for any client I tell all of my clients my boundries up frount if they do not play by the rules I drop them like a hot potato. I am the licensed professional and if I knowingly comit fraud for a client just for a couple of messily buck is JUST NOT WORTH IT. Because it is like ROBBING A BANK and I am not willing to go to jail for ANY BODY PERIOD.
Your boundries are blurred… and this is one I do not cross.
I have been on Fraud boards in my state.
he way i see it is banks are in business to lend money. If they don’t lend money they dont bring in profits.
You need to read the article in in your states mortgage press from this months release
Creative Fraud 101 by Jerome Mayne
quote from his article and he was talking about a LOAN REP or AE
Telling him about doing a NOO as a second home and if it made sence he should do it.
well this is what he said
“Creative? This isn’t creative financing. Creative financing is when a loan officer puts to use their vast base of product knowledge and solid understanding of the guidelines. A good, creative loan officer is one who knows how to take a borrower’s uncommon financial picture and find a mortgage that meets their needs: putting a square peg into a round hole, not by force or deception, but with skill and finess. Creative finacing does not involve witholding or misrepresenting information-specifically, information that is pertinent to the lender making the loan.”
Clients need money to purchase properties. It is my job to do a service to a client( and do it better than anyone else) and making sure the client can afford the mortgage i am providing them with. If I feel they can’t afford it i wont do it.
Yes you can do that HONESTLY, and not misrepresenting the infomation to the lender.
I am not having that on my head.
Oh you won’t give make them mortgage poor and you are willing to go to jail for them to commit fraud if it make sence to the underwriter or the lender. just so the bank and you can make money and the borrower has a mortgage?
Everything else is just talk.
Everything eles is not just talk, Do you not realise that this is wrong,
Are you that NIAVE as to think that you will not go to Jail for this?
There are real life concequences for this FLAMPANT attitude about fraud
you just think that everyone is doing this why not this is just talk
Well I feel sorry for you if you have kids.
What is the best way to find a broker that does investor loans? And is that usually a higher rate than a primary residence loan?
Thank you
What is the best way to find a broker that does investor loans?
Well look on this forum? You would beable to tell by our signatures on the bottom of the posts who are brokers and who is not.
And is that usually a higher rate than a primary residence loan?
Yes but not much
I am doing a loan right now for a couple it is stated loan N00 which means ( non owner occupied) 80% LTV
2.32 Start rate margin 3.43 full index rate is 5.75% no prepaid penalty.
They will have options to Pay intest only or full payments or the min payment or a 15 year accelerated.
They have an exit strategy of either fliping it or Lease option
they could also do a wrap if they wanted to.
Great!
Brokers argument!!!
Richmorgagebroker, let me tell you about an experience I had with a lender. An investor need a loan for an investment property.
I presented the 1003 and credit report to the lender. The lenders takes one good look at the file.
Do you know what? The lender suggests that since the borrower doesn’t have any property in her name. This borrower can purchase this property as an owner occupied property.
What do you think?
Now this is not just any lender. They lend nationwide.
Will that be a lie also.
I deal with lenders and from what I understand they prefer to do loans that make sense.
They are more interested in the ability of the borrower to pay them.
Now all lender are not the same and they all have their different requirements.
Once the borrower fit into a certain requirement they lend. They will lend.
I know SILVER can you believe it!!!
It is amazing that LO listen to the AE of the lenders they represent and tell the LO’s to commit fraud
Well it is not on the AE head it is on the LO head and they know it.
It just amazes me the willingness of the LO’s and some investors to commit fraud.
I think that some of the LO believe that if the Lender or AE tells them to do that it is ok when in fact it is not and FRAUD is STILL FRAUD
Some peoples kids 
Well said, Laura! You’re posts are right on. And I admire your integrity.
This isn’t about a difference of opinion, or what an AE tells us to do, or anyone else for that matter. It’s about what the law says. And whether someone agrees with it or not, if we break it, we’re the ones that are liable. Who knows? We might even get a nice vacation at the gray-bar hotel.
I too try to help my clients. But not by telling them how to lie. And not by trying to force fit them into a program they can’t honestly qualify for. But rather by trying to find the lender or program that fits their particular situation. And yes, sometimes it’s a lot more work, and sometimes you just can’t find the right one. But more times than not, you can. But at least I don’t have to worry about getting that special invitation to have a private meeting with RESPA or the feds.
By the way, I like the loan example you cited, Laura. How about this one we put together for a group of investors. NOO, stated, 80/10/10 with a 2% start rate on the first, fully indexed under 6% with a 3 year soft prepay. Very similar to yours, but we got the lender to put a 10% second behind a neg-am first. The investors loved it!
30k wouldn’t do much to buy multiple props in my area. So if the result were to put as little down as you can on each prop, then there are numerous ways to do this. One I like is a program called Newsong. They help me with down payment and closing costs on N/O/O investor property.
Yes I have a lender that will allow you to get 10 loans all at the same time.
1 OO and 9 NOO not bad and they do not care how many loans that you all ready have on you credit report.
Plus you can do Stated Verified Assets with them too.
I also have lenders that allow the investor to use Grant money for the down.
There really is NO LIMIT to OPM
That’s pretty strong - 9 N/O/O’s at once from one wholesaler.
I have found that if there is plenty of equity in the property (the only ones for me) and the loan is structured right, most all wholesalers allow newsong.
It’s been a good way for me to purchase many props. since I have a lack of funds.
YES ;D
Gotta love OPM especially Bank Money
Laura
I was on a different site chatting with a Mortgage broker. Ehe said that she has a client that has many properties in their own name and they have never been late on any payments. Their Credit score is in the 500’s because they have so many mortgages. Does this really happen and is that why many people put their properties in LLC’s and land trusts?
Your comments are always appreciated!
:-
NDI
Scoobie,
You made reference to “Newsong” program. What is that and where do I get info?
RDavis
There seems to be many misguided and loose cannon answers here.
The answer to your original question is:
You go no doc. No income, no assets, no employment. This is the easiest way to get into multiple properties at one time.
I have 7 lenders that will allow you to purchase up to 10 properties each. So, you can go buy up to 40 if you have enough capital for downpayments, earnest money and so forth.
And get it done right. If someone claims they are a mortgage broker or investor and can’t spell through their responses, it probably means they can’t type either. And if you can’t type, then you can’t write a letter. In my opinion, as a professional in mortgage lending, you want your loan officer to be able to spell and write.
This is business.
This is an investment.
You are buying a home.
Get someone who knows how to dot their "i"s and cross their "t"s.
Without it, you will have mistakes.
Mistakes cost money.