Conventional Primary & Investment Financing For Up To Ten Properties!

Here is a link with a list of the conforming loan limits for 2017

2017 List of Conforming Limits.

Here is the site to look up FHA and Fannie Mae/Freddie Mac Loan Limits. 

FHA & Fannie Mae Conforming Limit Look Up.

You can borrow for up to 10 conventional mortgages, down to a price of 40k, and up to conforming limits in your county. You have the option of a 15, 20 or 30 year term.

You can have an unlimited amount of mortgages and still obtain Primary Residence Financing. 

1 unit - $424,100

2 unit- $543,000

3 unit - $656,350

4 unit - $815,650

Standard Conforming limits are below; 

Anything above this limit, but below your specific counties conforming limit is considered high balance financing. There are different guidelines for both standard conforming limits and for high balance financing. Jumbo loans are for primary residence only and above conforming limits. 

Standard Conforming Limit Financing 

For A Fixed Rate Purchase, Primary properties, Mortgages 1-10;

• A SFR requires a LTV of 97% (first home only) then 95% 
• A Duplex requires a LTV of 85%
• A Triplex & Fourplex requires a LTV of 75% (possibly 80% with Freddie Mac - on mortgage #1-6)

For A Fixed Rate Purchase, Investment properties, Mortgages 1-6;

• A SFR requires a LTV of 85%
• A MFR requires a LTV of 75% 

For A Fixed Rate Purchase, Investment properties, Mortgages 7-10;

• A SFR requires a LTV of 85%
• A MFR requires a LTV of 75%
• A minimum credit score of 720

High Balance Limit Financing (Within Conforming limit for individual county specific, & above standard conforming limit)

For A Fixed Rate Purchase, Primary properties, Mortgages 1-6;

• A SFR requires a LTV of 95%
• A Duplex requires a LTV of 85%
• A Triplex & Fourplex requires a LTV of 75% (possibly 80% with Freddie Mac)
• A minimum credit score of 620

For A Fixed Rate Purchase, Investment properties, Mortgaged properties 1-5 ONLY ALLOWED. You can not do a high balance loan on an investment property if you have greater than 5 mortgaged properties, including subject property! 

• A SFR requires a LTV of 85%
• A MFR requires a LTV of 75%
• A minimum credit score of 620

Rental income; 

You are required to have a paid mortgage history to count rental income. 

If a recent purchase was soon to reflect on tax returns than 75% of the lease agreement is used. 

If the purchase is reflected on your tax returns than that income is used.

Here are some answers to FAQ as well;

1. For all 1- to 4-unit investment property transactions, cash reserves equal to 6 months PITI for the subject property are required. 

Cash Reserves Required For Other Properties Owned by Investor;

Cash Reserve Requirements;

6 months PITI is required on subject property.

If you have 1-4 financed properties than it is now 2% of all unpaid principle balances.

If you have 5-6 financed properties than it is now 4% of all unpaid principle balances.

If you have 7-10 financed properties than it is now 6% of all unpaid principle balances.

Money must be in account for 60 days or sourced. A HELOC can be used as down payment, but not as cash reserves.

2. Gift funds are not allowed on Investment property transactions.

3. Escrows for taxes and insurance are required unless otherwise approved by the underwriter.

4. Loans for investment properties are not eligible if the transaction includes non-arm