Posted by Wayne-NC on March 25, 2001 at 11:18:56:
I have several mortgages also with strong cash flow on the properties, however, in calculating the DI ratio the lender uses 75% of the gross rent then subtracts the dept payment. This they say accounts for vacancy and expenses. Anyway, it puts me at a break-even or a loss. There is my limit. As for six, I guess that depends on the lender. I have 5 mortgages and 3 secured LOC’s.