Requirements For Investment Property Mortgages
Investment property loan lenders tend to consider rental units a higher risk than owner-occupied dwellings. This is because the landlord profession itself can be risky. If a tenant stops paying the rent, a landlord may stop paying the mortgage. So, investment property buyers need a good or excellent credit score, as well as a larger down payment than for a conventional mortgage. You also need to have a good debt-to-income ratio and proof of a steady income. Investment property loans may also have a slightly higher interest rate compared to mortgages on primary residences.
F&M is proud to be one of the local banks that offer investment property loans. We know that a robust rental market contributes to a thriving community. That’s why we we work with investment property buyers to create an investment loan that works for your budget and needs. Our local ownership gives us more flexibility with loan terms and decision-making than bigger banks.
What can I buy with investment property loans in Virginia?
This type of mortgage can be used to purchase a single-family home, condo, or townhome to rent out, a multi-family unit, or a vacation home. F&M Mortgage offers both fixed-rate and adjustable rate investment property loans. Choose a term length that fits your budget and plans for the house.
F&M Mortgage: A Virginia Tradition Since 1908
F&M Mortgage, a division of F&M Bank, has been investing in Shenandoah Valley communities for more than a century. Our Mortgage Advisors are committed to offering friendly, personalized service, with the kind of local expertise you only find in people who live and work in your community. Ready to apply for an investment property loan? Use our online mortgage application or apply in person at your nearest branch. We can help you determine the best mortgage loan to fit your needs.