Purchasing Rental Property

Are you interesting in purchasing rental property?  Did you know that the down payment financing requirements are different depending on which bank you use and whether you will be an owner occupied landlord? Banks usually require a twenty (20) to twenty five (25) percent down payment for non owner occupied properties and a minimum of five (5) percent of the purchase price as a down payment for rental properties an owner will also be occupying.  Some banks also require proof of "emergency funds" for a six month period.  This means the bank wants to know you have enough money to fund the property yourself in case you do not have any tenants or if something breaks that would require immediate repair in order to have continuous occupancy and rental income.  If you are considering purchasing a rental property in Western New York, be sure to call Litwin Realty to help guide you through planning your financing so you are ready to make an offer when the right property hits the market.