John B asked:


I heard that once you go over 4 units, the loan is considered a commercial loan and banks require adjustable rate mortgages and possibly more money down. Any input appreciated.

RICKEY

2 Responses to “Can you obtain fixed rate loans for multifamily apartment complex purchases over 4 units?”

1. unisberkensap on November 1st, 2008 1:55 pm

   Typically 5 units + requires 10-15% down. If you occupy one of the units, you can still find 97% LTV.

   Arms are more popular in commercial loans because of the cost, but you can find fixed rates with 30 or 40 yr amortization.

2. skiingstowe on November 4th, 2008 7:54 pm

   Hi,
   Yes you can. It’s true that four or more units are considered commercial, but fixed rate loans are available through most lenders. I have three commercial loans through Bank of America that are fixed rates. You may want to try them. They’ve treated me very well over the years.

Leave a Reply

Name (required)

Email Address(required)

Website