First deal under contract ... would love some financing advice!!

[Jamie Gruber]

What an amazing thing BP is. Always liked the idea of real estate, but not until I found BP did I appreciate concepts like finding a niche, reserves, what cash flow truly is, etc. My wife and I have decided on small multi family but and hold as where we will focus. We were looking for property when we came across 4 duplexes that need some work and are all owned by the same person. We tried buying one or two but he wanted to sell all 4. Full asking combined was $460k. He lowered to $395k, but my analysis showed $325k to be the price I'd be willing to pay...and he accepted (never thought he would!). So now, I'm under contract on these 4 properties. I've had conversations with banks previously and like a smaller regional bank that will do portfolio lending since I have a schedule E (forced landlord SFR that Ive had to hold onto). I talked to another bank that would do this as commercial. 20% down with a 25% amortization and a 5 year fixed rate period. The benefit would be putting the properties in an LLC. It seems to me going the personal route with the portfolio lender who offers a 30 year amortization with residential mortgages is the way to go. But I wanted to see if my logic is flawed. Apologies if I left out pertinent details. Thanks in advance for your feedback/questions!

[Jamie Gruber]

Thanks Patsy Waldron . Excited and nervous all at the same time! I appreciate the affirmation. It seemed better to go the personal route. I'm not sure I need to form an LLC either way just yet anyway. But I do need to form some sort of entity with this many properties. Time to find a good CPA! Thanks again.