Boise Property Management | Financing Your Investment Property

 

Boise, Idaho property management companies can help you secure financing for your investment. With the housing market just beginning its slow recovery, many property investors are tempted by foreclosures, short sales, and low mortgage rates to invest in rental property. Professionals in Boise property management know that one of the first things any property investor must consider is initial financing. Here are a few tips to help make sure you find the best financing deal for your investment property:

 

  • Know the market. The first thing that professionals in Boise property management recommend to property investors is to research mortgage rates. At present, mortgage rates are extremely low, and consequently a great many professionals in Boise, Idaho property management see an uptick in investors interested in purchasing rental property. However, making sure you know the difference between (for instance) a fixed- and adjustable-rate mortgage will save you money down the line.

  • Know the criteria. Anyone in Boise, Idaho property management will tell you that it has become harder than ever to secure a loan. Due to the large number of people who have trouble paying their mortgages, lenders are tightening their standards. Boise, ID property management firms now recommend that at a minimum, an investor have:

    • A FICO score of at least 720
    • Manageable levels of personal debt
    • A documented source of income
    • A down payment of at least 3.5%

  • Look at your credit report. Professionals at Boise, ID property management firms know that investors as well as tenants have been hit hard by the financial crisis. As a property investor, it is a good idea to take a look at your own credit report before you apply for financing. If you don't meet the requirements, consider paying down credit card debt or other loans before purchasing an investment property. Many experts in Boise private residence management advise accessing your credit report for free through Annual Credit Report, a service provided by the three largest compliers of credit information.

  • Shop around. Any professional in Boise private residence management will tell you that finding the right financing takes time. Just as it is important to look at as many investment properties as possible, take your time to find the right lender. Those at Boise property managers companies recommend preparing to look at at least 20 different lenders to find the right financing deal.

  • Be prepared. Boise property managers (and companies) know that once you've found the right financing, you must be prepared to act. This means having all of your paperwork in order beforehand so you can close the deal. Going through all the prep work beforehand will impress your lender as well.

 

Due to the foreclosure crisis, it's getting harder for investors to finance the purchase of a rental property. Working with a property manager is a great way to make sure you are prepared to meet the challenges presented by today's lenders. If you have any more questions about financing an investment property, talk to an Advanced Asset Management property manager today.

 

   

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