Expert: Troy Labani - 1/23/2010

Question
Hi Troy, I have just happened to stumble upon this website..(everything happens for a reason, whether good or bad).....and I saw some of your answers to questions, so I thought I would ask one too. So my question is how does having multiple mortgages on ones credit report affect the next deal? For instance, I have,  starting off a 750 credit score..and I then purchase a couple of properties totaling 500,000 or so...and because I just purchase those properties will it impact my credit in a negative way? Will I have to wait a while before purchasing another property? Can you establish an investment company, so in time you can purchase property under that company(business credit), thus removing your personal credit? Ok...4 or 5 questions..lol

Answer
Christina,

Yes, I as well believe that everything happens for a reason. welcome, this is a pretty good site. I enjoy being able to help if I can, when I can. You have asked several questions, but that's OK. As you might guess, most do not have short answers but I'll do my best to answer them in a brief a form as I can.

Multiple mortgages absolutely affect the next deal, but many factors will dictate whether or not the affect is really negative. It will always be true that the more debt you have the more you can get... as long as you are diligent in making your payments on time. Also, the financial s of each deal are a factor, including the debt to income ratio and the leverage factor.

No, you won't necessarily have to wait with direct regard to the credit impact issue, but again it depends a great deal on who the financing is through.

Absolutely you can establish an investment company, and operate on the corporate credit instead of your own personal credit. I strongly recommend that you do exactly that. There is a good company in Nevada that will assist you in doing just that, and they guarantee their results. They are Nevada State Corporate Network Inc. Kimberly Smith is a good contact there, A little rambunctious on the sales technique, but a straight shooter. The fees are fair, just under $3K for getting you set up with a D%B rating that will get you where you are trying to go.

I hope I have helped you, or at least gave you grounds for more questions!! lol

Feel free to ask away! I have less time than I would like to get to the questions, but I do try to get to them as quickly as I can.

Good luck, and let me know how it goes.

Troy