Two years ago your dog could have gotten a $200K loan. Today - not much chance of it. To be redundant with just about every news report we're getting, the credit markets are extremely tight right now. In two years things may be different but this downturn is very probably going to last quite a while and credit won't be easy to come by. Major corporations with triple-A S&P ratings are struggling to get credit right now. In a year whatever state the financial markets are in will probably stabilize to some extent and banks will assess the situation - and to some degree loosen up credit, at least for those with good or very good credit - but the halcyon days of "free" money, stated income loans, and other poor lending practices are of course long, long gone, most certainly not to return in my lifetime and probably not yours. Then again, the market retraction and consolidation / collapse of banks throughout the US could get even worse - to some degree it no doubt will, but in a year we'll probably have a better view of how long and how bad it will be.
The advice you'll probably hear from most is get a cosigner with very good credit. If your parents or a relative has good credit and you've clearly shown you have the discipline to be so frugal and save that much money I can't see why they wouldn't be willing to bet on you. Even then and even with sterling 750+ credit they may find it quite hard to get a loan, however if you can find the right kind of "fixers" and opportunities you may be able to get in a sizable down payment for $25K, making it less of a risk for a lender.
Short of that, I would look to become involved in local investment and/or sales groups to see who you can learn, get tips from, and network with. If you envision your career as being that of a RE investor your network--pretty much like sales people--will be your life. Most and probably all serious RE investors have a substantial network of people whom they develop a strong trust to partner with, especially those who are involved in almost any significant commercial RE.
Oct 17, 2008