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Creative Real Estate Financing

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Andrew Rader
  • Investor
  • Fairfield, CT
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18
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Is this loan product a good idea?

Andrew Rader
  • Investor
  • Fairfield, CT
Posted Jun 10 2022, 13:35

Hello - I was approach by one of my lenders with a new product. It is a 40 year fixed rate loan with the first 10 years interest only and then it turns into a traditional 30 year amortized loan. The idea behind this is to still have cash flow in the first few years while rents catch up and then by the time the 30 year loan starts you are in a good spot. I would love to hear the community’s thoughts on this! Thanks! 

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