Posted by Kevin on February 14, 2002 at 08:53:00:
I am running into the same situation so far. The best terms I can get is 80% LTV, 7.5% for 20 year term but it is a 5 year balloon.
This may be the norm for the industry. Does anyone know?
Is a 5 yr lock the best I can do? - Posted by MW
Posted by MW on February 10, 2002 at 14:09:16:
I am shopping for financing for a 5 unit apt bldg and since it is more than 4 units, the lenders I have talked to classify it as commercial and offer either 15 or 20 year am and lock the rate for max 5 years. This may not be a problem at first, since the plan is to clean up the units, re-tenant at higher rents and then refinance with the (hopefully) higher appraisal and longer term rate. I am looking to create a cash flow, not a quick flip. Is this the way it works once you have over 4 units?