Rookie Mistake - Am I stuck now?
Hello everyone, I'm new to REI and I'm worried I might have made my first mistake!
We are looking to purchase a rental property and were looking into financing options. We have found some potential properties but wanted to be sure we could secure financing on a second property before I wasted anyone's time.
I contacted an online mortgage broker and they pulled our credit in order to get pre-approved. We were pre-approved but the minimum loan amount (100k) and resulting minimum downpayment (25K + closing costs) is more than we were looking to put out.
Now I'm realizing that this type of loan is probably not our best strategy if we are looking to do a smaller loan with less money down. I thought no big deal, I'll just tell them "No thanks." The lender is putting the pressure on to keep moving forward. Looking at their website, it says if you withdraw your application you may be required to pay 3rd party fees. Of course, I didn't see that before. Am I stuck now? Anyone else experience this?