What are the downpayment guidelines when buying a multi-unit investment property?
Is it different from a primary home? I am interested in an apartment building to purchase as an investment. What are the guidelines for downpayments on an investment property. Is it the same as a primary home? I have heard that it is not the 10-20% minimal downpayment because if all/most of your units are occupied, this is taken into consideration. Websites are appreciated too. Thanks for your help. A: It’d depend on how much the bank was afraid they’d end up owning it. 20% might do, in good times. If you have good assetts or cash flow to assure them, it’d help. Try looking at loopnet,com – It’s a commercial real estate web site, well organised for searching. You could get some idea of what terms are being offered “by owner”. There are some areas where a bank would practically give you a small apartment building- Detroit, for example. If you know what else is available, it’ll help negotiating with the seller – talk about the other places you are looking at, and excellent terms availabl
