can i purchase multiple homes with one loan?

Question

if i were to be pre approved for a loan for a certain ammount of money, could i purchase several homes which total value equaled the ammount of the loan? or would i be stuck taking out multiple loans for the properties?

Answer 1

I have never known anyone who did this, but that doesn't mean it couldn't be done. It would be up to the lender if they wanted to allow it. I do know they treat income property loans different from primary residence loan, so you could end up paying a higher interest rate on all of them.

There is one big drawback to this. If you get in trouble financially and can't make the full payment, you could lose all of the properties. If you have a different loan for each house, you would be able to pay as many as you could and you wouldn't lose everything. Sorry to look on the dark side of things, but I always try to look for both pros and cons.

Answer 2

Most times there is multiple loans because the properties support a loan. You can find a lender that will permit you to buy more than one property.

THIS LENDER WILL PUT WORDS INTO THE LOAN THAT REQUIRE YOU TO PAY 100% OF THE SALE ON ANY PROPERTY ON THE PRINCIPAL OUTSTANDING.

This means if one property is sold for $20,000 profit, not only is the principal paid but the principal of the remaining properties are also paid by $20,000. You would get no money and still owe the same monthly payment each month until the loan is paid back.

Answer 3

Not really. They'd have to fund on the same date and the organization of that many sellers/properties/liens would be a nightmare.

Besides that, most mortgages are done for a first home (primary home) and the investment properties are seperate-- usually at a slightly higher rate with different qualifications.

Answer 4

nop. it sounds like you have created a port folio already based on credit.they have this but dont mention the words...put some monies in a G.I.C and sign a personal guaretee.BAM...THATS BAM...nailed ..they use the gic as your word and what is really happenning is your making monies on the interest and its not even your money ....BASICALLY BUT PROFOND>>>>>>wooooooo!