With the recent changes made by Fannie Mae to the guidelines for Investment Property Financing, you may have some questions. Don’t worry, many people do!
According to Rob Bonahoom with Cornerstone Mortgage, here is the basics on how you can once again finance more than 4 properties, actually up to 10 investment properties!
~ 70 percent loan-to-value financing available.
~Minimum credit score of 720
~25% down payment requirement for a 1 unit property, 30% down for a 2-4 unit property
~reserves available equal to 6 months of payments covering the principle, interest, tax and insurance payments for each existing investment property
Fannie Mae has loosened the financing guidelines allowing investors to once again have mortgages on up to ten properties in hopes that this will allow the serious investors to help absorb some of the inventory on the market.
If you are in a position to take advantage of the buyer’s market, email me at nichole@mnrealestateteam.com and we can find you cash flowing investment property. With the low mortgage rates available, the strong rental market and the amazing value you can get on property right now, NOW is the time.
