Mortgage : Home Loans : Refinance : Home Equity Loans

By Ben Afzal

Loan Basics

There are many new types of mortgage loans available to borrowers.

Real estate investors who flip properties quickly usually want the maximum cash return for the minimum amount invested.

One of the ways a property flipper can minimize their cash is to minimize or avoid making a down payment.

There are mortgage lenders that now offer borrowers 100% rental property financing. By investing nothing down a property flipper can deploy their capital more aggressively across more projects.

Some mortgage lenders have a cap on the total number of rental properties a real estate investor can own at any one time.

Many lenders who offer 100% rental property financing may require a borrower to document income, assets, or other items.

Check with your specific lender on what the loan requirements are.

Payment Type

You also have several loan options.

If you get an interest only option your monthly payment will be lower than a regular payment.

You may also be able to get a minimum payment option loan. This will give you a very low payment.

Also watch out for a prepayment penalty. Make sure if you are flipping the property that you will not face a prepayment penalty. This could end up costing you a lot so make sure the loan officer is clear with you about this up front.

===========================================
For additional Mortgage Refinancing information
and resources visit Mortgage Refinancing.
(http://www.refinance-refinance.net)
===========================================

This entry was posted on Thursday, October 19th, 2006 at 4:20 am and is filed under Refinance. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.