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Opinion: Is the time ripe for a third way to tap home equity?

Housing Wire

The convergence of homeowner requirements and investor incentives has resulted in a genuine inflection moment for home equity investments (HEIs). Are home equity investments the answer? In simple terms, home equity investments offer homeowners a way to unlock equity without taking on monthly payments or additional debt.

Equity 474
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Freddie Mac spurs landlords to report on-time rent payments

Housing Wire

The government-sponsored enterprise will provide closing cost credits on multifamily loans for rental landlords who agree to report on-time rental payments through Esusu Financial. Esusu, a credit-building fintech, will deliver the on-time rental payment reports from landlords’ property management software to the credit bureaus.

Finance 468
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How to Buy Multiple Rental Properties With Financing Options

The Close

Lenders prefer to see fully stabilized properties when you’re looking for home equity loans or lines of credit. Also, be aware that some lenders have a “seasoning period,” essentially how long you’ve owned or financed the property. These loans can have rates from 12% to 18% but can be funded in 15 days.

Finance 98
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How lenders can accelerate access to credit for marginalized communities

Housing Wire

Having equity increases net worth, allowing people to build long-term wealth that can be passed down through generations. For mortgage lenders looking to streamline that path, The Work Number can help accelerate the loan origination process. Homeownership is one of the best ways for consumers to build wealth.

Lending 435
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How to Buy a Multifamily Property in 10 Steps

The Close

It is generally more straightforward and manageable than purchasing a large commercial property. Multifamily mortgage loans typically require 20% of the property price for a down payment, and there are inevitable maintenance and property management costs.

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How to Invest in Real Estate: A 7-Step Beginner’s Guide

The Close

Build a network of reliable professionals like real estate agents, contractors, and property managers. Fix and flip: This involves buying a property that needs improvement, repairing it, and selling for a profit. They’re an excellent way to invest in real estate without owning property needing maintenance and tenants.

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Everything You Need to Know About Investing in Multi-Family Real Estate

AAOA

While these properties offer the most economical rental rates, they often need more modern amenities and features. The appreciation that the property witnesses over time can help leverage your equity to invest in other properties. Start by looking around for mortgage lenders who specialize in multifamily properties.