Owning “Out-of-State” Property
Some customers have an entire property portfolio outside their home state, while others want that level of comfort, manageability, and convenience of having everything closer to home. Some areas lack the local investment opportunities that are more abundant in other locations, while others may have many opportunities in their local city or town. There is no right or wrong to staying local or not. The only things that matter are your needs and your goals. For customers that wish to pursue opportunities outside their local markets or home state, here are a few items to note.
- We lend in all 50 states. With very few exceptions, DSCR is available in all states. Underwriting guidelines and qualifying requirements do not vary from state-to-state, but pre-payment penalties can vary from state-to-state.
- If you plan on title vesting in an LLC, register your existing LLC or form a new one with the state that you plan on purchasing your property in. It is strongly recommended the LLC process be completed before entering a real estate contract in that state. Most states have informative websites to assist with that process.
- If looking in resort areas or popular vacation destinations, don’t forget we lend DSCR on Condominiums and Condotels.
