How to Get a 3% Mortgage Rate on Your Rental Property (Still Works in 2026)
About this episode
This episode discusses how to obtain a 3% mortgage rate on rental properties through assumable mortgages, despite current higher rates.
Did you know that you could get a 3% mortgage rate on your next rental property? With rates hovering around 6%-7%, this would shave hundreds of dollars off your monthly mortgage payment and save you a few hundred thousand dollars in total interest. That alone could flip a deal with negative cash flow into a profitable one. But rates don’t appear to be coming down any time soon. So, how is this possible? Welcome back to the Real Estate Rookie podcast! Today, we’re talking about assumable mortgages—existing loans that have rates as low as 3%. These aren’t “goldilocks” properties that only the luckiest investors find. There are millions of them all across the U.S., and we’ll show you exactly how to find them. Stay tuned to learn everything you need to know about these loans, like how to cover the “equity gap” that many of these properties have, a six-step process for taking over an existing mortgage, and the biggest pitfalls to avoid along the way. If you’re struggling to find properties that cash flow, this investing strategy could be the answer you’ve been looking for! In This Episode We Cover Everything you need to know about assumable mortgages before you buy The main difference…
People in this episode
Host: BiggerPockets
Topics covered
- mortgage rates
- rental properties
- assumable mortgages
- real estate investing
- cash flow
- equity gap
Keywords
- 3% mortgage
- assumable mortgages
- rental property
- equity gap
- real estate investing
- cash flow
- government-backed loans
Mentioned in this episode
Organizations: BiggerPockets
Places: U.S.
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