Buying a rental property? How the financing game has changed

Just four short years ago, you could buy an investment property with nothing down and get the best interest rates in the market.

That was then. Today, rental financing is night-and-day different. To mortgage a small (a one-to-four unit, non-owner occupied) rental property now, you need to plop down one-fifth of the purchase price. And even then, you don’t always get the lowest rate.

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Homeowners associations clamp down on rentals

Neighborhoods across the country are hiding the welcome mat from renters in a bid to protect property values, a trend that has put a strain on renters and homeowners alike.

Some homeowners complain local laws and neighborhood association covenants are becoming too restrictive on renting in an economy that already makes it tough to sell a home.

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