Reston, VA · Member since 2014 · 74 posts · 24 votes
Hi all! Total RE newbie here. I've been reading articles and around the forums regarding funding options for RE investments, and me and my father(partner) are interested in acquiring some SFR units in the future.
My father has mentioned that he has a good relationship with a local banker in town that he could pull 30% down payment for another RE investment. Reading around the forums it seems many have be able to land a 20% down payment. My question is, when I'm calling around the banks and asking about RE investment financing and the down payment that would be required, is it as simple as asking what they require for down payments or do i need a good relationship with a bank before I can ask for those terms(for 20% specifically)? I would obviously much rather find us a banker that could work with a 20% down payment rather than 30%. I have no experience in how these things work so I need advice please. Thanks!
@Aaron Hall you will have better luck with small banks than the big banks (in my opinion). Where are you looking to invest outside of Nashville, is it Murfreesboro? If so good choice, Amazon and Nissan are in the area so the jobs are stable. Here are a few to check out......
@Victoria C. I would say local banks where you are planning to invest. They can be a crucial part of your team in an area you may not know well and be boots on the ground for you. A good lender should have a good general knowledge of which areas to avoid, which areas are growing, etc. Also, they may have other contacts you need, such as a realtor, property managers, contractors.