Real Estate Investor Loan Comparison Deep Dive

Loan Comparison Table
Loan Comparison Table

Do you really want to dive deep and truly understand the differences between the loan options available for real estate investors to purchase properties? In this class we will show you how which loan you choose can impact how your investment performs with a thorough comparison of loan options.

In this class you'll learn:

  • This class is intended to supplement the other financing classes we've taught (and we'll try to limit how much we repeat here from there)
  • The amazing loan comparison table with par rates from when we taught the class
  • Comparing owner-occupant loans for Nomads™ and house hackers
  • Comparing non-owner-occupant (investor) loans for buying investment properties you won't live in
  • The difference between The World's Greatest Real Estate Deal Analysis Spreadsheet™ and Real Estate Financial Planner™ software calculations
  • How down payments and interest rates vary for each of the loan programs (with charts)
  • How 30-year mortgage payoffs vary with down payment percent and interest rate
  • How Private Mortgage Insurance (PMI) varies with each loan type and which loans don't have PMI at all (it is not just when you put 20% or more down)
  • See clearly how much PMI is and when it goes away and which one never goes away
  • How does your monthly payment vary with varying down payments, interest rates and mortgage insurance rates and how does this impact cash flow?
  • How resilient are you from rent shocks based on different loan types?
  • Your Return on Equity and how that's impacted by your loan choices
  • Your True Cash Flow™ for each loan type buying the same property
  • The costs of getting each loan and how they vary based on loan type
  • In cases where you have negative cash flow, what is the cumulative total amount of negative cash flow you have with each loan type?
  • How much True Net Equity™ do you have for each loan type?
  • How does loan choice impact your True Cash on Cash Return on Investment™
  • Debt Service Coverage Ratio (DSCR) can impact your ability to get future loans, so how is DSCR impacted by your loan choice at time of loan and over time?
  • A discussion of Capitalization Rate (Cap Rate) and loan type
  • A look into rent required to be breakeven with and without professional property management for each loan type for the same property
  • The Cash Flow Power Meter™ for a variety of loan types
  • A deep dive into the Return in Dollars Quadrant + Reserves™ (RIDQR6™ + RIDQR12™) and Return on Investment Quadrant + Reserves™ (ROIQR6™ + ROIQR12™) for all loan types
  • Part II: looking at buying 10 properties sequentially with each loan type and the compounding impact of loan type
  • The impact on Net Worth, cash account balances, cash flow, equity, speed of acquisition, total invested, negative cash flow, mortgage payments, risk, speed to financial independence
  • Plus, much much more...

Duration: 1 hours and 52 minutes
Recorded: April 28, 2021
Instructor: James Orr