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Tre Reaume
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Why do banks keep suggesting I begin REI with commercial loans??!

Tre Reaume
Posted Oct 27 2021, 13:20

I am working my process and meeting with local inverstors, local realtors, and lenders. Three our of three (and now an attorney) have all said that its best to put my REI properties under commercial loans. The primary reason comes back to liability, of course.

And I may be missing it but for 1-4 unit multifamily properties I know residential loans are possible. They have lower interest rates, longer terms. Which as a REI is my target for now with buy and hold properties.

Is the fear or concern of a lawsuit that strong...? I feel like I am not connecting dots somewhere. Do I need to keep searching for the right lender?

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