Possible to get 80% LTV on a 12-unit Multi-family?

Possible to get 80% LTV on a 12-unit Multi-family?

Residential Real Estate Broker · Chicago, IL · Member since 2015 · 3 posts · 2 votes
Hey everyone, I'm new here and looking forward to connecting about real estate investing. My partner and I are in the process of buying a 12-unit multi-family building in the West Chicagoland area. The financials are solid, fully-occupied, all paying, room for rent increases, easy to rent units close to Chicago CTA line. Gross rents at $8,600, net at $5,600+. I'm looking through my financing options, and trying to get the best combination of long amortization schedule, low rate, and low down payment (want to maximize cash flow early on). We'd specifically like a 30-year amort, and 80% LTV. Is it possible to get these kinds of terms for this kind of property? Thanks in advance.
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  • Real Estate Agent · Chicago, IL · Member since 2013 · 386 posts · 218 votes
    10y

    Hi

    That would be awesome if it was possible.

    You can get a loan with 80% LTV that's easy.
    Best you might find is 10 year fixed on a 20/25 year amort.
    More likely a fixed 5 over 20.

    Look up community banks, they are the best and love developing relationships.
    CNB Bank and Trust in Palos Heights
    First American
    etc...

  • Brie SchmidtBusiness Member
    Moderator
    Real Estate Broker · Chicago, IL · Member since 2013 · 6k+ posts · 5k+ votes
    10y

    @Romulus Olariu - I often see 80% LTV on a 25 year amort with a 5 year balloon

  • Real Estate Lender and Broker · Dallas, TX · Member since 2013 · 966 posts · 500 votes
    10y

    I am working on a 2.35 million loan with 10/30 terms on an apartment building.  Typically to get longer terms with longer ams, you need to have higher dollar purchases.  Typically 2 million and up.

    Mark

  • Real Estate Investor · Eola, IL · Member since 2014 · 137 posts · 22 votes
    10y

    Please check out Community Investment Corporation - CIC.

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