How to buy second house?

[Prajita Niraula]

Hi! I bought my first home last September. I am saving up to buy a new property in a few months that I can rent out. What are my chances of getting approved for a loan again given that I just bought my first home? What are your general suggestions? Thank you!

[Matthew Kwan]

House Hack #2 my friend. Once you stay your primary house for shortly 1 year, you can use your primary to convert it into a rental property. Before you acquire your 2nd primary house, make sure your 1st primary property are leased up so that you can use 75% of the gross rent. On the other hand, if you are vacating a primary and using FHA, then you will be subject to the FHA 100 MILES rule have 25% equity in order to use rental income to offset from your prior house. However, there are also ways to prevent from triggering the fha 100 mile rule, but if you are just using conventional from your first house then you can just do another conventional loan and repeat the process

@Albert Bui

@Albert Bui @Carlos Valencia