Blanket Loan Comparison

[Eddie T.]

Hello All, I am having trouble figuring out which loan makes the most financial sense. I have spoken with two different banks about the Blanket loan products they offer. I would like your help in analyzing which bank would be better. My main goal is to use the cash out to purchase more properties.

I have 6 properties owned free and clear total value $220 k

Bank A:

Will only loan at 3 properties at a time so i will need two separate loans.

75% of appraised value

5.25% interest for 5 years then a balloon payment or rate reset for another 5 years

$6k in closing costs for each loan

Bank B:

Will loan on all 6 at once

60% of appraised value

5.25 % fixed rate 15 years

6k closing costs

Which Bank would you decide to go with if your main focus is to purchase more properties and why?