- Know What You Can Afford Before You Shop.
- Avoid Disappointment: Determine your financing capabilities before you start shopping for properties to avoid falling in love with a property that you can’t finance.
- Make Confident Offers: Knowing your budget allows you to make offers with confidence and agility, reducing the risk of losing deals due to financing delays.
- Choose the Right Ownership Entity: Decide in advance whether you want to hold the property under an individual name, trust, LLC, or corporation.
- Consider Letting the Property’s Cash Flow Qualify for the Loan, Not Your Personal Income
- Protect Your Privacy: By using the property’s cash flow to qualify for the loan, you can keep your personal financial information private and avoid using personal assets, tax returns, and pay stubs to qualify.
- Purchase Programs for Short-Term & Long-Term Rentals: Tailored financing solutions are available to accommodate both short-term and long-term rental properties.
- Versatile Ownership Structures: Loans can be closed in the name of an individual, trust, LLC, or corporation, offering greater flexibility in financing options to suit your investment strategy.
- Beneficial for Foreign Nationals and Multi-Owner Investments: This approach is particularly advantageous for foreign nationals, multi-owners, or syndicated investment buyers who may face challenges with traditional financing methods.
3. Determine in Advance How You Will Manage the Property
- Professional Property Management Company: Offers peace of mind with quality reports but can be expensive, especially for first-time investors.
- Local Realtor with Property Management Services: More affordable option that can assist with property inspections and reviews, particularly beneficial for investments in distant markets.
- Self-Management: Allows you to leverage your time for increased cash flow, especially if you possess handyman skills. However, it can be challenging if you don’t have a network of repair/maintenance vendors in the area or prefer not to handle tenant calls at all hours.
Home123 Mortgage is a nationwide direct institutional lender dedicated to providing residential real estate investors with access to competitive, transparent, and reliable financing options.
Our Home123 Mortgage Counselors collaborate with investors and real estate agents to evaluate properties. We ensure they offer the necessary cash flow before you make an offer or even visit the property, saving you valuable time.
Work with one of our Mortgage Counselors and we will make finding the best program for your unique needs as simple as 1 – 2 – 3.
