Alternative Ways to Finance Investment Properties in Portland
Long gone are the days where you can walk in and get a 3 or 5% down home loan on an investment property. For several years we’ve been struggling to obtain any loans for financing investments much less our own properties. But now, as the market starts to turn around and rapidly go up in several regions across the US, a small handful of banks is opening up new loans and new opportunities for investors and homeowners.
Investors have had to get pretty creative in finding loans and funds for investment properties over the last five years or so, even going so far to become private lenders themselves to help other professionals invest in the real estate market. But now, mortgage companies that gave you a smile and comfortably turned you away just a couple of years ago are now offering new products and new loans through lenders and banks supplying a new breed of financing options.
This means that primary mortgage companies have acquired lenders on the secondary market that can finance more than 10 loans at the time. This still may be a risky way to go but I feel that the more lenders and banks that adopt this type of practice the more will follow suit. This also means that possibly in the future investors will be able to hold multiple properties on one loan, a very promising realization to many investors. This also means that the first time investor is more apt to obtain a loan for investment properties than they were just two years ago. Up until now, the only other option was a Fannie or Freddie loan but now, with more banks seeing this new type of loan working in their best interest, more lenders may in turn offer a variety of loans and mortgages for investors from all walks of life.
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Granted, were not back to where we were at the peak of the market by any means but we are headed in a good direction. Hopefully, banks and lenders will take a little bit more of a wise and calculated step toward helping those that are truly investment savvy game portfolio that they need and desire.
For more investment consulting, financing options or if you just like to get some of your questions answered, please contact me anytime I would be happy to offer my investment advice and services for your next real estate venture.