Newcomer around here but wanted to survey the community (which has been incredibly helpful to me). Have folks noticed a drop in the availability of conventional financing for investment properties since Fannie Mae issued the related guidance in March of this year https://www.housingwire.com/ar...? I'm trying to determine the most efficient way to finance my investment properties and would like to use conventional financing if it's available. Thanks in advance!
Lender · Tampa, FL · Member since 2020 · 182 posts · 90 votes
5y
Conventional financing is definitely still available. Many of the big box lenders stopped lending on conventional investment properties but most brokers/lenders still do them.
That being said, since Fannie Mae increased the rate on conventional investment properties, DSCR loan terms are often pretty comparable to conventional loans. The fees at closing are a touch higher but it's much less documentation and hoops to have to jump through compared to a conventional loan.