How and Where to Get Income Property Financing

Investing in income property homes are right for you to start building your real estate wealth—quickly and easily. 

And the good news for you, good friend, is that there are more lenders for income property homes than for any other type of real estate. Why? Because more than 5 million previously occupied income properties are sold in the United States every year! So lending on income property homes is BIG BUSINESS for real estate lenders everywhere!

To show you how easy it is to get loans for income property homes, here's a list of some of the lenders who might finance your income property home wealth building:

* Credit unions of almost every type—state and federally chartered "
* Commercial banks—those having the initials N.A. after their name.
* Government (FHA/HUD/VA) loan guarantees and loans.
* Life insurance companies of many types.
* Mortgage brokers who represent many lenders.
* Pension funds—both large and small ones.
* Savings banks in almost every state.
* Savings and Loan Associations—now called Savings Associations.
* Private lenders (or investors) from many sections of the country.

Quick Benefits Offered to You by These Lenders
Each of these lenders offers unique features to you as a borrower for almost any kind of income property home. 

* Credit Unions
You can join a credit union—free of charge—because credit unions are member-based organizations. Income property home loans offered by many credit unions include:
Low down payment loans.
Less-than-perfect-credit loans. ? '
Really bad credit loans.
No-income verification loans.
Debt-consolidation loans.
Refinance with little or no equity loans.
Fixed, adjustable, and other interest-rate options.
No Doc (no income, no assets verified) loans.
Foreign Nationals Accepted (FNA) loans.
Extended qualifying ratio loans.
Bankruptcy and pending foreclosure OK loans.
Tax-lien and judgments OK loans.

Go see your loan credit union. You'll find it listed in your telephone book Yellow Pages under "Credit Unions." Or go on the Internet to http://www.ncua.gov.

* Commercial Banks
Look in your phone book under the "Banks" listing for commercial banks near you. These banks have the N.A. (National Association) abbreviation after their name. Call the mortgage department and ask for data on their home loans. You'll be sent:
A set of loan applications for you to use.
Flyers on the types of loans they make, interest charged.

Full data on the bank and its history, branches, and other information.
You'll be a lot more welcome at a commercial bank if you have your checking account at the bank. And if you also have your savings account at the bank they'll welcome you with open arms. Get the point, good friend?

* Government Loan Guarantees and Loans
There are dozens of government loan programs for income property homes. Important ones you should look at are:
Manufactured home loan guarantees 
Income property home loan guarantees 
Low/moderate-income loan guarantees 
Rehabilitation housing loan guarantees 
Income property home guarantees for outlying-area homes 

You can find plenty of others by contacting your local FHA/HUD. See their address and phone number in the government section of your local phone book. Or go on the Internet to: http://www.hud.gov.

The Veteran's Administration (VA) has a number of loan guarantees to buy or build a income property home. Other guarantees cover manu?factured homes, residential condos, farms containing residences, and the refinancing of an existing mortgage. Loans are made to veterans for no down payment on the property by the buyer. Thus, you get the home for zero cash down. Check your local phone book or the Internet at: http://www.va.gov.

Some VA loans can be assumed—taken over with no qualifying checks of your credit. These are ideal loans for credit-troubled BWBs. Be sure to look for homes having such mortgages because you can get started with them even if your credit score is 0, or below 300.

The Farm Service Agency (FSA) has a number of useful programs for rural housing you can use to build your income property home wealth. To buy, build, or repair rural homes, use the FSA 502 program. To repair rural homes, use the FSA 504b program.

* Life Insurance Companies
Life insurance companies prefer larger home loans because they can put out more money to earn a higher return on the transaction. And if you have an Ordinary Life Insurance Policy with a life insurance company you can borrow against it. The interest rate you'll pay will probably be the lowest anywhere. Why? Because the insurance company has the collateral (your policy) in its own hands!

* Mortgage Brokers
Mortgage brokers have access to numerous income property home lenders. Some have no other experience but with income property homes. And some Mortgage Brokers work with government programs and have ready access to a variety of loan guarantees offered to buyers of many types of income property homes. Working with Mortgage Brokers can be highly beneficial to you because they:
Are paid a commission on each borrower they find who successfully obtains a mortgage loan.
Know how to qualify a borrower whose credit may not be the strongest, helping you get your loan.
Work for you at no charge of any kind because they get their income from the lender when you get your loan.
Have inside info on which lenders are hungry for r and help you qualify for one of these loans.

* Pension Funds
Pension funds, like insurance companies, prefer to lend on larger, income property homes. But some smaller pension funds may like income property home loans of lesser amounts. As they say, "You never know!" So check out smaller—and larger—pension funds. You may get the loan you seek!

* Savings Banks
Savings banks just love to make income property home loans. Some savings banks make only income property home loans. So you can expect an open-arms welcome when you apply. For best results with savings banks:
Apply to local savings banks. They know property values in your area and can give you a quick answer to your loan request.
Ask for their special mortgage offers. Many savings banks have low-interest offers that can save you lots of money. As with commercial banks, it never hurts to have an account at the bank you're asking for a loan!
Use the bank's loan application. The bank knows—and likes—its own loan application. You'll get a faster answer when you use it!

* Savings and Loan Associations
Once called "S&Ls" for short, these associations are now called "Savings Associations." And like Savings Banks, the main focus of Savings Associations is income property homes. Likewise, you'll find these two types of lenders listed in the Yellow Pages under "Banks." Keep in mind that Savings Associations:
Are "hungry" to make income property home mortgage loans because that is their main business.
Will welcome your income property home mortgage loan application and will do all they can to approve it.
Have experienced loan officers who know income property home values in your area and can give quick funding decisions.
Offer competitive interest rates that allow you to earn a higher profit on every income property home you buy.

* Private Investors
Private investors are individuals or companies seeking to earn income from loans they make on well-kept, well-located, income property homes in either their local or a distant area. For example, I have made investments in income property homes as a private investor. And every deal I've made as a private investor has been profitable.

When you deal with a private investor or lender you have several advantages because such business people:
Usually seek less documentation than most other lenders might require of you.
Seldom do a credit check on a borrower, relying instead on a "gut" feeling about the borrower.
Can deliver the money sooner—in just hours, if necessary—to the borrower.
Are easier to deal with than most other lenders because he/she admires the Beginning Wealth Builder and wants to help.
Can be a regular source of money for you—the BWB—if you make your payments fully, and on time.
Will work with you if you have a sudden and unexpected expense with the property which causes you to be late with your monthly payment on your mortgage. May be willing to make a down payment loan and a long-term mortgage loan to you, enabling you to get into a moneymaking property for zero cash down.

 

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