The best way to learn is to jump in and figure it out as I go...right? My goal is to get into Multifamily this year. I have four conventional loans and now what is the next step in the acquisition process? What is the best approach for commercial loans? Also, I LOVE the TOOLS to help analyze my deals. I intend on printing out my analysis and take it to the bank.
@Maria S. Do you have another deal? There are plenty of banks that will allow up to 10 conventional loans. If you are looking at doing Multifamily, I would prepare a resume or a book of your past properties. I would also figure out your personal global cash flow, fill out a PFS (personal financial statement), bring 2-3 years of tax returns and have it all bonded at office max. That would impress a commercial lender and make it easy for them to determine if they want to do business with you. If you are prepared, they are more likely to take you seriously. However, most of it will depend on a specific property. Most lenders will want at least a 1.2 DSCR on the property. You should check out the book "What every real estate investor needs to know about cash flow....And 36 other key Financial measures," by Frank Gallinelli......Frank was also on BP podcast #4. Below is the link.
Thanks! @Christian Bors
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