How Many Properties Can You Have?
If I own a house and want to start investing, would it be hard for me to get another loan? I have two cars in my name also. How do people do it? This is a simple question but never got an answer. :-?
I can't answer your question specifically because I don't know your credit scores, financials, outstanding debt, assets, equity, liabilities, etc. In other words, I have no idea if you even qualify for another mortgage.
But my broker has often told me that a personal investor can have residential mortgages on a maximum of 10 properties.
[addsig]
Thanks! When you apply for a loan as an investment, does this make it easer? How does that work?
Most lenders will only go up to like 10 properties, or 'bout a million dollars, before they start getting balking. Then, you switch to a different lender. Also, a BIG, HUGE factor, is you DTI. Debt To Income ratio. If it gets too high, then you're REALLY in trouble, so keep that very important ratio in sight as your buying. A bank will only credit you .75% of your rent from a property toward your mortgage, so if you're not getting 25% more than you mortgage each month in rent, then they start counting against you.
Assuming your DTI, credit score and all that stuff are okay, there is no real limit. Just today my broker told me that they've found a mortgage co that will finance up to 19 properties. But even then, if you're so inclined, you can merge several mortgages into a single mortgage, and keep on buying.
My DTI is not real good because I have a mortgage, cars, and credit cards. The reason i'm getting into investing is because I need more money but I don't see how you can with little or no money.
txcowboy, it can be done with little or no money just keep reading the the forum or get Carlton Sheets course. There are others who specialize on no money down techniques also.
I'm also in the DFW area, and just recently bought several duplexs with 0 down using a convential loan. These were my first investment. Send me a PM if your interested and I'll send you contact info for the lender I used.
Sounds good but what is PM? I'm sorry but a little new to the investment talk. I work for Citimortgage and know some about conv. loans. Thanks for your help.
Do you mean primary mortgage?
txcowboy,
I think he means Private Message - PM
Chris G
Of course. My bad.