Mortgages for first two properties

[scottbarbeau]

During the ACRE weekend course, REIN recommended that we use trust companies for our first two properties. I did not capture the rationale for this recommendation. Can anyone fill in my gap in knowledge?



Thanks. Scott

 

[Aneta]

Actually it is the opposite. Trust companies (but not all) usually are more flexible on qualifications, so you want to reserve them for later, when you have a bigger portfolio and your debt ratio and property count increase. You first want to got to the lenders that have stricter rules on number of properties and on how they count rental income. It's all a big chess game, a mortgage broker can help you navigate and come up with a plan.