Posted on: 29th Sep, 2010 03:08 pm
I have 4 rental properties and three have mortgages (one is not mortgaged). I have a residence with a mortgage and HLOC. Two of the 3 rental mortgages are in-house loans which are not FNMA. One rental has a conventional loan with Citi Morgage (FNMA).
I just tried to purchase another home and was denied because I "have 4 mortgages and 1 more would be too many". I have excellent credit (780)and plenty of cssh and reserves.
I'm not looking for the "get an LLC" solution, I get it but am not prepared to start living the LLC dream.
My questions.
What is the cap on FNMA loans?
Does it include loans which are not FNMA?
Will putting the propoerty in a spouses name help me get past this crazy BS cap?
I just tried to purchase another home and was denied because I "have 4 mortgages and 1 more would be too many". I have excellent credit (780)and plenty of cssh and reserves.
I'm not looking for the "get an LLC" solution, I get it but am not prepared to start living the LLC dream.
My questions.
What is the cap on FNMA loans?
Does it include loans which are not FNMA?
Will putting the propoerty in a spouses name help me get past this crazy BS cap?
First the easy one. There are different eligibility requirements once you get past 4 homes. Not all lenders will lend with these stricter requirements. The maximum number of financed Fannie Mae loans is 10. Though if you are refinancing your primary residence, you could have more than 10 financed properties.
I think that Fannie Mae will consider non Fannie Mae loans in their total loan count.
If you are not in a community property state, transfering both ownership and the mortgage to a spouse will allow you purchase more property. When you apply for the loan and property in your name only, you will not need to disclose your spouse's liabilities.
If you are in a community property state, you are required to disclose the liabilities of your spouse on your loan application.
The easiest fix is to find a mortgage broker who knows a lender that will finance more than 4 properties.
Timmy Do
Golden Rule Homes & Loans
I think that Fannie Mae will consider non Fannie Mae loans in their total loan count.
If you are not in a community property state, transfering both ownership and the mortgage to a spouse will allow you purchase more property. When you apply for the loan and property in your name only, you will not need to disclose your spouse's liabilities.
If you are in a community property state, you are required to disclose the liabilities of your spouse on your loan application.
The easiest fix is to find a mortgage broker who knows a lender that will finance more than 4 properties.
Timmy Do
Golden Rule Homes & Loans
Welcome realestate,
As far a I know, a borrower can own 10 properties and take out FNMA loans on them. This cap is not the same for other loans. You can put the property in your spouse's name and if he or she has a good credit score and stable financial situation, he or she will be able to get a mortgage on it.
As far a I know, a borrower can own 10 properties and take out FNMA loans on them. This cap is not the same for other loans. You can put the property in your spouse's name and if he or she has a good credit score and stable financial situation, he or she will be able to get a mortgage on it.