Investor · Los Angeles, CA · Member since 2019 · 26 posts · 10 votes
Hello, I am a new investor ready to take the leap. I'm not sure if rates differ much from lender to lender, but can anyone make a recommendation for a nationwide lender and why you recommend this lender? I've been approved through NOVA loans and they are great so far, but they can't provide loans nationwide. I'm considering a Chase Home Loan. I have my eye on some markets outside of what NOVA can cover and want to be able and ready if an investment property pops up somewhere else. Thank you for your time reading this.
@Diana Rivera thanks for posting here. A general rule that all of us real estate investors use is to work with local lenders. A large, national, and especially publicly traded, lender is usually not a good lender for us. The reason for this is that investment properties foreclose at a higher rate than primary homes. So if I'm a large institution, having too many investment properties will increase my risk. And if I'm a publicly traded company on the stock market not only do I know that investment properties are riskier...so do my shareholders! And shareholders have rights. Those right include telling the company to limit their risk...or else the share price will plummet. So a publicly traded company is counter-intuitive to our needs as real estate investors - and that's why we try to stick locally. I'm probably a bit biased but there are exceptions to this thought but generally speaking, we need to stick locally.
So how do you find good local lenders? Bigger Pockets has some great state forums and usually there are good locals that monitor those. Also, try some local real estate meetup groups. Meetup.com is a good resource for those but some of the groups will also post here on Bigger Pockets Marketplace too. Even facebook might have some good local groups for you. But post locally for this. That’s the best bet.