I bought my first duplex about 2 years ago and currently live in one side while the other is rented for $700/mo. At the end of this month I’ll be closing on a short sale duplex currently fully rented at $1500/mo.
My question…I’m interested in picking up a SFH REO property I’ve had my eye on for some time now. Are there any restrictions I’ll be faced with in terms of financing? Will they need to see 6 months of ownership on this new duplex to count the rents? Anything else you can think of?
Thanks!
G
It’s really hard to tell what a bank is going to require these days.
In the past, when I applied for loans, all the bank wanted to see on the rentals were signed rental agreements. There was no time requiremnt for ownership
Some banks want actual leases, but I never had a month to month rental agreement turned down by the bank.
My suggestion is to make a couple of appointments to speak to the loan officer for a couple of different banks and go in and ask them what they can do for you and what they are going to want to see from you.
That’s their job to make loans, so they don’t miind giving you a consultation.