I currently work in a W-2 career and I have zero consumer debt. I have one investment property in Milwaukee with a good DTI. I also have a small lawn care business that is growing since I began marketing through SEM and built a website. If I decided to quit my career and pursue growth with my lawn care company, what would need to be my personal DTI and income to still qualify to purchase RE investments under $90,000? How can I find this type of information? Thanks.
Hey @Corbin Jones ! Start researching smaller local banks and credit unions. Find out what type of real estate investment loan products they have. Get an appointment with their highest level executive if you can and if anything one of their residential or commercial loan officers. With what you are trying to do you are going have to start building a relationship with the lender. Each lender is going to have different requirements. If you build a strong enough relationship with these lenders you could see their requirements lessen based on the deals/properties you are asking them to finance. This is because the decision makers may be a small board of directors that make the call if they will loan to you on certain deals.
I would also suggest that when you set up these appointments you be prepared with your Lawn Service business plan to start gaining trust from the lender. Also, put together a detailed proforma of your Milwaukee property so you can show them you have a solid cash flowing asset already underneath your belt. Almost like you are putting together a real estate business model together. Again, these types of deals with smaller more local banks all come down to relationships. We have work with a few local banks in our area that we've developed great relationships with over the years. They know exactly the type of deal they are getting into with us when we come to them to lend.
Any other questions just let me know. Hope this helped and good luck!
@Mitch Ferraro thank you very much, Mitch! That’s very helpful advice. Take care.
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