Should I prepare now for multiple loans and what should be done

[Bernie Huckestein]

I have some investment experience with flips as well as small commercial (storefront 1st level, apartments above) but that goes back many years. Starting to get back into investing and will buy and hold SFR or small multis. I have two houses now (one is my residence) and getting ready to make an offer on 1 maybe two others...so for me:

• Work at a full time job
• Solid credit
• no current difficulty with income to debt

I am sort of a planner and am told that regardless of your situation I'll likely be capped at 4(ish) mortgages...even if I am not, after four or five purchases I will be out of deposit money and likely would have other ratio problems.

I know there are opportunities to reduce down payments from time to time but let's assume my purchases are "traditional".

Is this a problem people experience? How is this hurdle cleared? What can I do now so that everything is in place -- I'd hate to pass on a deal because I wasn't prepared for this.

Appreciate your comments

[Brian Ortins]

Call local banks and speak to the commercial portfolio lending department. They will guide you in the right direction. They will likely recommend offering a blanket loan where you can get your existing properties blanketed into one loan, with the ability to cash out refinance any equity into cash (use cash as future down payment). This access to commercial lending will also allow you to purchase multifamily properties that are 5 or more units.