Questions? Feedback? powered by Olark live chat software

Chrisman's Corner: There Are Many Options for Non-Owner Loans

With all of the turmoil in recent years, the number of non-owner properties has increased. There are many people across the United States who have decided to buy a rental, and there are plenty of loan programs tailored to that end that are offered by JMAC. And along those lines, owners are deciding to rent their own property out

For someone thinking about becoming a landlord and either buying a non-owner property or converting their own house into a rental, JMAC Lending brokers often have a conversation with the borrower saying that there are five tips and things to think about before doing so. The first is to know and follow the rules since landlords must adhere to federal, local and state housing laws and health and safety codes. The second thing to remember is that unless you hire a property manager, you’re on call 24/7. Emergencies can occur any time of the day and you, as the owner, are ultimately responsible for remedying the problem and providing a livable unit for your tenant.

The third thing JMAC Lending’s brokers tell borrowers to keep in mind is that interviewing potential tenants can be difficult; options include social media to advertise the space, or receiving referrals from friends and family. You may also want to consider using a property manager or property management company. The fourth thing is to assess your ability to fix things when they break. If the unit is not near you, or you are not “handy”, you’re in better shape than having to hire someone as those costs add up. Lastly, prepare for the unexpected as there are things that will come up that you won’t be able to repair, so having a list of vendors that you can contact when something goes array (cockroaches, A/C breaks), will be beneficial.

But once the decision is made to own a rental unit, JMAC’s loan brokers have various programs that are similar to owner-occupied programs for financing.