5 units or more Multifamily Finance questions

2 Replies

BP, 

I have been listening to the BP podcast for about 4 years now! Still love it! I keep hearing over and over that a single family is just as much work as a 10 unit apartment complex to purchase etc. I want to scale faster and purchasing a quad a year sounds fine, but would like to get into larger buildings. 

My one main question is, if I am looking to purchase 5 units or more, will I have to work with commerical lenders? I will not be able to use standard residential brokers/ convential loans for these apartment buildings? I assume Mobile home parks are the same.. Commerical lenders? 

If so, does anyone have any recommendations for commerical lenders in the Kansas City area? 

Thank you BP! 

Correct, 5+ unit properties are commercial properties and require commercial loans.

@Scott Goulet

I would start with Bob Riley at National bank of KS. His # is 913-945-258 five or Robert.wiley at NBKC.com

If you Pm me I will send you a few others. I have purchased 6 buildings and 85 multi family units in KC MO in the last 18 months. I'm still finding great deals...with 10% cash on cash returns and 18% + IRR

Happy to share other contacts as well.