Real Estate Investor Lender Requirements

Lenders are searching for several key elements in a real estate purchaser'sfinancial background. Similar to traditional mortgages, employment history is a key factor to obtaining a loan on a real estate investment property.  The lender is also looking for six months income in the borrower's bank account to cover the mortgage in case of non-rental or other issues.

Lenders generally look to see that the real estate investment can be rented for approximately $200 over the mortgage, to cover maintenance and repairs on the property.

If you are a new real estate investor, other requirements may apply. For example, some lenders will want to see a record of property ownership.  Some lenders may even limit new real estate investors to two properties in two years.