True or False:  An investor can only have up to 4 loans and no more.


It’s true that some banks limit their loans to 4 Fannie Mae financed properties, but there is a special contact that some lenders have with Fannie Mae that allows up to 10 properties financed before you have to go to more expensive financing.

The best rates of course are if you have 4 or fewer, but the rates are typically only .25% higher with your 5th property.

If you cannot get Fannie Mae financing, then you will probably get a portfolio or REIT-backed loan, which will be short term like a 3 or 5/1 ARM (adjustable rate mortgage) and  about 1% higher than the traditional Fannie Mae 30 year fixed.