How many mortgage do you have? At what number become unmanagable?

Question

just curious, I have 4, I setup auto pay at 1st, 5th 10th and 10theach month.

I always wondering if a person has 20 or 30 SFH, that will be one mortgage due like every day each month.

Frankie Woods · Answer

I’m about to close on my 12th.  If you have the cash flow, then there really shouldn’t be a point where it’s unmanageable.  Just setup autopay and ensure your renters pay on time.  Easy peasy. Oh...and always have reserves to cover the unexpected.

Michael Ablan · Answer

I have somewhere in the ball park of 20~.

If I were tracking and paying them manually each month, then it would have been unmanageable at 10.  Instead, I set them to auto pay and forget about them.  Just make sure you're keeping up with your book keeping, so you don't put your account in jeopardy of overdrawal

Pat L. · Answer

When I started out I had 9 on the go. 3 were through banks the rest were owner holds. I eliminated them all ASAP, because in those days I was 'living the dream' paying double digit financing. Very quickly we became completely debt free & then only paid cash for properties. In fact we only had a construction loan on our principal residence, once completed we were debt free. Most of our future properties were usually not initially fit for prime time conventional financing so we had little choice. Many may say we are not leveraged enough but trust me free & clear comes with  an amazing peace of mind.

Account Closed · Answer

We just picked up buildings 11-13  on Wednesday which gives us 11 mortgages (last three were bundled into a single note). All buildings are multi-family so it is not so much the mortgages that are the biggest hassle but the utilities that are a pain! It is a good pain though : )

Andrew Cheek · Answer

Very insightful thanks all! Has anyone had much luck with owner holds? I've floated that option to a few owners via my realtor but haven't received much response. These are good properties though perhaps owner hold is meant for more distressed owners?

-Andrew

Kenneth Garrett · Answer

@Mike Chern

I have 15 mortgages and it’s a little cumbersome.  I use quick books to track everything.  Everything feeds through a management account and funds are transferred to the appropriate accounts.

Auto pay is the best way to keep on top of it.  I had some small banks not  have autopay go figure, but as long as you are on top of it the benefits out way the hassle.  I try to keep 6 months banked in the accounts for any emergencies.

Prasad J. · Answer

Depends from person to person, I like to not have more than 4-5 properties at a time. Just go bigger in size.

Mike Chern · Answer

Thank you very much for all the folks replied. It seems set up auto pay, then good book keeping is the key. This is where I will be working on now.

Again appreciate your insight very much.

How many mortgage do you have? At what number become unmanagable?

Most Popular Reply