typical down payment for a mortgage on an investment property

New to Real Estate · Las Vegas, NV · Member since 2023 · 62 posts · 16 votes

evening all. went to speak to a local bank today regarding a potential mortgage on an investment property. we have our primary home and an occupied rental. they said that the minimum down payment for another home would be at least 30%. is that about the typical size of down payment on an investment home? thanks for any info

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David Bilandzija

Lender · Venice, CA · Member since 2021 · 189 posts · 132 votes

Hey @Joe Fermin 90% combined LTV is the best I'm aware of on long term rental loan program (30 yr fixed). The lender I've worked with in these scenarios will offer 75% max LTV on a first trust deed mortgage and allow seller financing to make up the remainder (up to 90% CLTV).

There's no look at DSCR for qualifying the loan either. Good luck

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Joe Fermin
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New to Real Estate · Las Vegas, NV · Member since 2023 · 62 posts · 16 votes
3y
Quote from @Robin Simon:

Quote from @Joe Fermin:

evening all. went to speak to a local bank today regarding a potential mortgage on an investment property. we have our primary home and an occupied rental. they said that the minimum down payment for another home would be at least 30%. is that about the typical size of down payment on an investment home? thanks for any info

DSCR Loans typical minimum is 20% (with 15% in some cases, but hard to cash flow in this rate environment at 15% down)

thank you for this info
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Joe Fermin
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New to Real Estate · Las Vegas, NV · Member since 2023 · 62 posts · 16 votes
3y
Quote from @Ryan Thomson:

@Joe Fermin I gotta imagine you can find something for 20-25% for an investment property. If you intend to move into this home and make it your primary you should be able to line up a 5% down loan.

that seems to be more inline with many other establishments. this is strictly for a rental
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Jay HurstBusiness Member
Lender · Dallas, TX · Member since 2017 · 1k+ posts · 1k+ votes
3y
Quote from @Joe Fermin:

evening all. went to speak to a local bank today regarding a potential mortgage on an investment property. we have our primary home and an occupied rental. they said that the minimum down payment for another home would be at least 30%. is that about the typical size of down payment on an investment home? thanks for any info

@Joe Fermin Assuming a single family home you can put down as little as 15% for a conventional loan. Pricing will get better at 20% or 25% down but you can do as little as 15%. Of course your debt to income will have to be able to handle that debt.
https://singlefamily.fanniemae...
Hurst Real Estate, INC4.986 Reviews
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Joe Fermin
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New to Real Estate · Las Vegas, NV · Member since 2023 · 62 posts · 16 votes
3y
Quote from @Jay Hurst:

Quote from @Joe Fermin:

evening all. went to speak to a local bank today regarding a potential mortgage on an investment property. we have our primary home and an occupied rental. they said that the minimum down payment for another home would be at least 30%. is that about the typical size of down payment on an investment home? thanks for any info

@Joe Fermin Assuming a single family home you can put down as little as 15% for a conventional loan. Pricing will get better at 20% or 25% down but you can do as little as 15%. Of course your debt to income will have to be able to handle that debt.
https://singlefamily.fanniemae...

thank you for this
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