MD investors! Financing question

My realtor is telling me if it is not going to be a owner occupied home I have to put 20% down minimum is that true? If the 20% + rehabbing takes all my cash is it possible, as an investor, to pull out the increased equity to fund the next property? A lot of the info I have been reading on financing is turning out to be outdated and/or doesn’t apply to MD after the legislation passed within the last few years.

MD investors only please. and PM’s welcomed

Lenders are not going to offer 100% financing on Non-Owner Occupied purchases. Those days are long gone.

They expect you to have some kind of skin in the game. That is part of what caused the mortgage meltdown. The parameters for Owner Occupied are extremely stringent as well.

Is your Realtor going to do the financing part for you? I suggest that, instead of taking his word for it, you speak with actual lenders. You aren’t going to get 100% financing but you owe it to yourself to see what the LENDERS are doing. Many Realtors don’t see a really big picture and many are not overly REI savvy, nor do they ‘think outside the box’ much.


Thanks for the responses. I don’t plan on having my realtor do the financing but I’m not in MD yet and I gave my realtor the parameters of the properties I would like her to keep an eye out for and when I mentioned investing she said to keep in mind that that would require 20% down. I met her briefly while scouting the area but when I get to MD this coming week I’ll actually be able to interview a few brokers and get a better idea of the situation.

There are numerous ways to pay less down than traditional financing!

You’re the guy that’s going to be down in Charles County, right?


Yea that’s me lol. I do have a pretty good reserve built up and I have come up with a 2 year plan that seems very reasonable without taking into account putting anything less than 20% down. It would be nice to learn a bit more so any tips you have are appreciated. I think a lot of learning is going to take place when I begin sitting down with a few brokers.