would you beleive me when I tell you its easier to obtain a 1million dollar loan than it is to obtain a 100K loan?

We'd love to believe you. Do tell us more.

to get a million dollar loan? Do you need a significant down payment to do it? We'd love if you shared more with the details! Thanks!

I think it would be easy if you had a perfect
credit score which i only no one person so
not sure on that but do tell....Waiting....!

Actually you don't need perfect credit, and even if you have excellent credit, 95% of the time, a 1Million dollar loan is above and beyond anyone's available credit limit. But first..yes you need a down payment, about 20%, but the bottom line is this..the bank looks at the net income of the property, and as long as there is a positive cash flow to where all the expences are covered the bank will lend you the money. If the numbers work its a good deal, no matter what you are investing in. If you go to buy a single family house, the bank is going to look at your ability to pay that mortgage by going over your personal debt to income ratio, to see if you qualify to pay the PITI payment!

So in my opinion, its easier to buy a million dollar, fully rented commercial building..than a single family property.

I am living proof, I did it last year, and my credit, was just ok. Anyone can do anything they want,they just have to go out and make it happen!

Thank you for sharing.

When you purchased the income property, did you have the 20% down for the property?

We're not sure about a million dollar loan but it's got to be easier to get a loan for property that has income than to get a loan for a family. Seems to us if you have a personal income and revenue from the property the lender would be more willing to work with you.

As for 20 percent down on 1 million - I can't offer solid evidence on this - yet!

Alice and Jim
HomeStar2020