Is it possible to buy two homes at once with the same lender?

Question

I am interested in purchasing a primary residence and an income property in the Maryland area. If I was approved for example for a home loan of $500K and I purchase two properties within that price range, is that something that can be done? Just curious.

Richard Campbell · Answer

Account Closed Thanks Mike!

Account Closed · Answer

Hard to do but might work. It is far easier to qualify for each property as you encounter them. You might be able to get a mortgage broker to qualify you for a primary and an investment property simultaneously *if* you have sufficient income, ratios, credit score, down payment, etc. Tough to do since buying a house is generally chasing a moving target. Besides, qualifying for a home loan for $500k is for a single home only.

Brad Smith · Answer

Hi Richard--

I work quite a bit with MD home-buyers and investors and this is quite common.  Please feel free to reach out if you have questions.

Thanks

Cara Lonsdale · Answer

There shouldn't be an issue.  The lender looks at your DTI to determine qualifications.  As long as both deals fit within what you have been qualified for, you have enough down payment and reserves for both, you shouldn't have an issue.

IF you were needing the income from the investment property to help you qualify for one or the other, THEN I could see how the lender might want you to stagger them, but even then, it would only need to be a week or so between them to give the lender an opportunity to plug in the new figures to make sure you still qualify for the second purchase.

However, you didn't mention that to be an issue, so I am just adding a 'what if'.

Richard Campbell · Answer

@Brent Coombs Thanks Brent!

Brent Coombs · Answer

@Richard, if you need to buy them both at once anyway, it shouldn't matter that both loans could be with the same Lender (because, you have to disclose all debt obligations anyway).

In fact, why not treat dual loan applications with one Lender as a positive, rather than a negative? ie. Tell 'em they either want your ongoing business, or, you'll wipe their dust from your feet as you walk out their door, forever! [But yes, it'll be about your DTI ratio]. Welcome to BP...