Vacation Home Loan question

7 Replies

Hello, I’m looking at buying a vacation home loin Columbus Ohio. I heard a vacation loan would only require a 10% down payment and I can use it as a shot term rental, while I’m not using it. Has anyone had experience with this in the past? Would I be able to buy a multifamily using this strategy?

Hi @Bradley Snyder , I had heard similar information that propelled me into a conversation with a lender about a specific 2nd home/vacation home purchase and I heard from them that it would have to be 15% down.  I'm curious to see what the lenders in our midsts say here, as 10% down would make a lot of fun possible, especially if it works with small multi-family homes.

@Bradley Snyder

Some lenders allow you to purchase as a “second home” but limit you from renting it out per the loan terms.

Make sure when you’re talking with lenders you make it very clear that is your intent, some lenders will have portfolio products to assist you.

Buying vacation home and using it as short term rental is two different things. If you want to use personal income to qualify and buy a "2nd home" then go for it. If you cannot, the way to do it is with an actual VRBO rental loan.. Those are 25% down based on the rents of the property and not personal income.

Originally posted by @Bradley Snyder :

Hello, I’m looking at buying a vacation home loin Columbus Ohio. I heard a vacation loan would only require a 10% down payment and I can use it as a shot term rental, while I’m not using it. Has anyone had experience with this in the past? Would I be able to buy a multifamily using this strategy?

 Alum Creek was voted the best beach in the world by me last year. It is about 5 minutes north of Columbus, Ohio. I rent a pontoon boat every year for my birthday in May and have a blast. My buddy brings his jetski. My friends and I murder a half dosen cases of Natty while our DD drives the boat. I would highly recommend picking up a vacation home here.

Originally posted by @Remington Lyman :
Originally posted by @Bradley Snyder:

Hello, I’m looking at buying a vacation home loin Columbus Ohio. I heard a vacation loan would only require a 10% down payment and I can use it as a shot term rental, while I’m not using it. Has anyone had experience with this in the past? Would I be able to buy a multifamily using this strategy?

 Alum Creek was voted the best beach in the world by me last year. It is about 5 minutes north of Columbus, Ohio. I rent a pontoon boat every year for my birthday in May and have a blast. My buddy brings his jetski. My friends and I murder a half dosen cases of Natty while our DD drives the boat. I would highly recommend picking up a vacation home here.

Just make sure you get your rentals booked about 2 years in advance due to all the demand  

Originally posted by @Robert Ellis :
Originally posted by @Remington Lyman:
Originally posted by @Bradley Snyder:

Hello, I’m looking at buying a vacation home loin Columbus Ohio. I heard a vacation loan would only require a 10% down payment and I can use it as a shot term rental, while I’m not using it. Has anyone had experience with this in the past? Would I be able to buy a multifamily using this strategy?

 Alum Creek was voted the best beach in the world by me last year. It is about 5 minutes north of Columbus, Ohio. I rent a pontoon boat every year for my birthday in May and have a blast. My buddy brings his jetski. My friends and I murder a half dosen cases of Natty while our DD drives the boat. I would highly recommend picking up a vacation home here.

Just make sure you get your rentals booked about 2 years in advance due to all the demand  

 I just have my people tell them who I am