Real Estate Investor · San Antonio, TX · Member since 2017 · 9 posts · 2 votes
My name is jevon Smith I am in Killeen Tx, I would to get some input about I would need to bring to the bank when I want buy a investment propertie. I do t want to walk in looking like a fool or I dont know what I am talking about. So for example do I need a business plan if so what would what need to be in the business plan? Who would I need to talk to at the bank, do I need to go to small banks, big banks or credit unions? And how should I dress when I meet with these banks? What do I need to have in place before I meet with the banks. Those are my questions, I would appreciate any feed back, thank you.
Rental Property Investor · Ankeny, IA · Member since 2017 · 2k+ posts · 3k+ votes
8y
I'll talk about what I did, which was to start with buying a duplex, which is a residential loan not much different than buying a house. To start, you don't need to bring anything at all, except to talk with a banker on what you want to do. Do you want a mortgage for a multi family house hack, for a real estate investment, for a flip, etc? The bank is there to tell you what you'll need to do to get there. The mortgage loan department is a good place to make an appointment. Start with where you bank. I did not need a business plan, but you might need one if you're talking about commercial property (5 units or higher). Again, just ask them. And, don't be afraid to shop around for the best rates/loan terms. Small banks in my area give the best "in house/portfolio" loans.
Now, the bank will require some documents before they approve you for any loan, such as; Copy of your drivers license/Identification, 2-3 years tax returns, 2 months pay stubs, investment documents/statements, an actual loan application, 2 years W's, 3 months bank statements, any retirement/401k documents/statements. In other words, any documents that will show the bank you have the ability to pay back the money they are about to give you.
For your "what do I wear question", I guess I hadn't thought much about that. Yes, you're asking them for money, so I wouldn't go in after I'd been at the beach all day, but you don't necessarily need to be suit and tie either.
Contractor · Temple, TX · Member since 2014 · 379 posts · 164 votes
8y
Hey @Jevon Smith , I guess my first question would be. "What type of property are you looking at purchasing?" If you're looking at a single family house through fourplex that is a whole different thing than looking at "commercial" multi-family propeties.
Rental Property Investor · Durham, NC · Member since 2016 · 7k+ posts · 7k+ votes
8y
@Jevon Smith
If you’re buying residential and want a regular residential loan, there’s no need for a business plan or stuff like that
You’ll need more then this but in general 30 days pay stubs, 2 years tax returns, bank statements for funds