Seeking a loan for multi-family in Lynchburg, VA

[Michael Iacono]

I am a new investor living in California and looking to invest in small multi-family properties in Lynchburg, VA. I have identified a few properties and am looking for the best way for me to be able to leverage my current capital in. I have had the same very good salary job for the past 5 years, have seasoned money in the bank, little to no debt, and have a FICO score in the mid 700s. Traditional loans on multi-family requiring 20-25% would lock up too much of my money in a market which historically doesn't appreciate a great deal, but do see great opportunity for steady cash flow in. I have contacted a local lender in Lynchburg that referred me to their portfolio loan program which is a 15% ARM, that's more appealing but I'm curious to see what other opportunities are out there. Anyone help I could get from this community would be very much appreciated. I have heard about credit unions and portfolio loans possibly being the answer to my problem but need some guidance finding the right one. Thank you all.

[Drew Bonner]

Hey Michael! I live in Lynchburg and I am an investor/realtor and invest in small multi-family units. We currently have two 4-plexes and a duplex in our portfolio that we started 4 years ago. What exactly do you mean by a market that historically doesn't appreciate a great deal? We are seeing 4-5% on average for the last 5-7 years. It is a very healthy appreciation rate in my opinion. Also, I haven't been able to find a lender around here that would do 20% fixed on a 2-4 unit, so if you ever come across one, let me know! Good luck with your investment search in Lynchburg. Just so you know, we are selling one of our 4 plexes and our duplex next spring. So if you are possibly interested in those let me know. Thanks!