Corrado79
New Contributor
I am looking at a development now for a potential investment purchase involving a 2 unit building. Each unit is a 3d/1.5 ba. Each cash flow nicely.
All along I figured they were titled as duplexes since that is how they physically are designed. It turns out that they are titled individually and would need two separate loans. :bgh:
So my question is, what should my concerns be? I understand that this second loan would hurt my chances of getting the loans at "second home" rates and they also may affect my minimum LTV. Also, I will be getting closer to my 10-loan cap on my credit report.
Other than that, what should I be worried about? I wanted a duplex because of the economies of scale, but it looks like these are run like a duplex so the economies will be there anyway.
Please provide your helpful thoughts. TIA!!
All along I figured they were titled as duplexes since that is how they physically are designed. It turns out that they are titled individually and would need two separate loans. :bgh:
So my question is, what should my concerns be? I understand that this second loan would hurt my chances of getting the loans at "second home" rates and they also may affect my minimum LTV. Also, I will be getting closer to my 10-loan cap on my credit report.
Other than that, what should I be worried about? I wanted a duplex because of the economies of scale, but it looks like these are run like a duplex so the economies will be there anyway.
Please provide your helpful thoughts. TIA!!
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