How are all of you getting 20 percent down on investments?

[Bradley Pietrzak]

ive went to a bank. And a buddy who is a morgage lender and it seems nowere i go can i find 20 percent they all say because its an investment it has to be 25 percent this is my first property i am financing it through credit it will still cashflow with the property managment company im just so new with this. I hope im on the right path.. i guess ill figure it out soon :)

[Charlie Fitzgerald]

Committing mortgage fraud by attempting to use an FHA loan for an investment property purchase under the misnomer, that "will anyone ever really know" would certainly qualify for "doing something dumb", so I am telling you, DON'T do it! Yes, people will really know. The first person will be you! Your original question was how do people get the 20% down to buy investments properties? They work hard and save money...they partner with others and pool resources...they work second jobs and save money....they find distressed sale opportunities and work something out with the seller for some level of seller carry. These a re just a few ways to do it. None of them are illegal and none of them can have you looking at a felony conviction for bank fraud, wire fraud, fraud by deception and a whole host of other not good things that are used to punish people that get caught making fraudulent applications for loans. It's sad that over the last couple of decades, there have been a lot of hucksters in and out of this industry that have advised, guided and provided assistance to people to do just that and a lot of them never had any repercussions befall them for doing so. I can assure you that a whole lot of people did though. It's like any other crime (yes...it's a crime!...not creative financing)...some get away with it and some get caught.

Do it the right way.  Anyone that advises you to do it the wrong way, you should immediately not do any type of business with moving forward.  There are a lot of people on BP that will give you the best advice they can (I'm one of them) and there are others that will give you bad advice.  It's up to you to decide which advice to follow.  Sometimes the best advice is not the easiest to follow and it takes longer to achieve your goals by following it.  But the bad advice will ruin you...at some point, just like all bad advice does.

Good luck.