Investment Property

Comments(5)

• 
  Young_Inno_Vative24th December, 2004

  it wont...but maybe im wrong[ Edited by Young_Inno_Vative on Date 12/24/2004 ]

• 
  myfrogger24th December, 2004

  It may prevent you from buying your primary residence. The lender has made it's approval based on final review of your financials. Your financial situation will be very different and therefore they could not give you the loan.
  
  If you are buying creatively and there will be no additional mortgage on your credit report, I wouldn't worry about it.

• 
  BeckyS24th December, 2004

  If you are getting a mortgage for the investment property, it could definitely prevent you from getting the mortgage on your permanent residence. I'm going through some similar things, though in a different order. I have learned a lot in the past few weeks about what the lenders/investors expect with mortgages where multiple properties/mortgages/investment homes are concerned. For most loans, for them not to count the investment property mortgage as debt, you must provide a signed lease for one year (from the current date of your loan app, not one that's in progress... must be a year in the future), that shows the rent at at least 25% above the mortgage. That is their calculation for vacancy and maintenance costs. In my case, trying to buy my 2nd investment home, even this is not enough, they want me to have 2 years history/experience as a landlord.
  
  Good luck!
  
  Becky

• 
  MrLandry24th December, 2004

  Thank you all!

• 
  ray_higdon24th December, 2004

  Close on yuor investment property less than 30 days before yuo close on the primary residence if you can hold out that long.
  [addsig]