Updated over 2 years ago on . Most recent reply
First time renting out my current house.
I’m wanting to rent out my current house I’m living in, and buy a new bigger house. I came across BiggerPockets doing research on YouTube. Wanting to see if anyone has advise on getting started with the process. So far I’ve contacted a realtor (from BiggerPockets recommendations) and have a list of houses I’d like to buy and live in. Any help would be appreciated. Thank you.
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Before you get into contract on your next primary house, you would want to make sure to lease it up so that the underwriter can you that as a rental income to offset your mortgage payment. Typically lenders would use 75% of your gross rent - monthly PITIA = +/- net income. This prevents you from getting hit on both of your houses and not using any rental incomes to offset your liabilites.