How does a bank view properties bundled together for a sale?

3 Replies

I was looking through listings on a site this morning and I picked multi-family as my only property type to search for. What I found was several traditional multi-family properties but there were also a large number of listings in which there were 3 SFR homes bundled together and being offered as a package.

If an investor wanted to purchase one of these property bundles, how does a bank view the properties for financing?  Do they look at this like one conventional loan since the properties are being grouped together for the deal or do they make you split up the loan between the properties, making each property carry it's own loan?  Obviously you would have to insure all of the properties separately, so I am wondering if the bank would make you split up the deal into separate purchases so that they can be 1st mortgage on all.

If they only make you take out 1 loan for all of the bundled together properties, it could be helpful when it comes to the limit on loans for personal conventional financing.

Maybe try to search for umbrella or blanket loan info.

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