I have a a quad that was appraised at $290,000 and I owe $284,000. Its a zero down VA loan and I have only had it a couple months. My debt to income ratio is 43%. I have enough capital for a 25% down payment on a $150,000 property. I will still be able to keep 6 months of expenses in the current quads account for vacancy/emergency. I am currently collecting $650 on two units and $675 on one and then i live in the fourth unit. I also collect $600 a month in residual income from Aflac but only for the next 2 years so i can't claim it with a large bank. I also make $41,828 a year before taxes. How should I go about getting a loan from a smaller bank that does portfolio loans.
Why are looking for a small bank portfolio lender only? If you have the money to put down as well as cash reserves saved up and your DTI's are currently at 43% I don't see any problem with you going the route of conventional financing as well. On the future rental property you would be able to count 75% of the projected rental income or current lease agreements.
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