Questions about mortgages for out-of-state turnkey properties???

Question

Hello everyone,

I plan on getting started investing in the beginning of '19. One question I have is what is the process for qualifying for out-of-state mortgages? Best to still use a local lender?

Thank you very much!

Pat

Account Closed · Answer

Thanks everyone for the replies, much appreciated

James Wise · Answer

Many lenders do loans in all 50 states. The majority of my clients aren't located in the same state as the properties I sell them. On top of that the lenders we use are usually in a 3rd state. So being out of state should have little to no effect on getting a mortgage.

Caleb Heimsoth · Answer

@Patrick Hyams. Many local banks won’t lend to out of state investors.  Your best bet will be a large company that loans in all states.  Your agent or the turnkey company should have recommendations.  I suggest looking around some as the lender fees can vary a lot

Michael Albaum · Answer

Call around to loca banks where the property is located. Some lenders will only lend to local residents while others don’t care. I own properties in numerous states and have loans with numerous local banks. It can also be very relationship dependent as well. I just did a refi with US Bank. They have a branch near my property as well as near where I live, very happenstance but worked out quite well. Good luck!

Michael-

Anna Ferntheil · Answer

I just bought my first out of state turnkey property. I am in Alaska, the property is in Ohio, and my lender was based out of California I think and some pf the people I was working with were throughout the Pacific Northwest. I am happy to recommend who I used if you are interested-I had a great experience and they were very patient with all my first timer questions.