Today's lending environment does not allow for investing in property with little or no money down. Real investors have at least 25% or more to put down, and most of my serious investor clients buy with cash or at least 50% down.
The interest rate on investment property is higher than for a primary residence. If you're able to find a loan without 20% or more down you're going to be charged for mortgage insurance and the combination of higher rates and mortgage insurance will skewer the numbers and your investment probably won't make good economic sense
You need to find yourself an experience Realtor who really understands investing, most agents really don't have any clue at all how to evaluate investment properties. Investors I work with won't consider any property that won't generate at least a 10% return on Investment.
It is very difficult if the property is not your primary residence. In most cases you will have to come up with 20% down or more. If anyone out there knows of a bank that can do it for less than that, I would love to meet them!
Mitchell S. Feldman
Associate Broker/ Director of Sales
Madison Estates & Properties, Inc.
Office: (718) 645-1665/ Cell: (917) 805-0783