Updated over 10 years ago on . Most recent reply
Best Use of Downpayment Funds
Hello BP Members,
Looking for advice purchasing first investment property.
We are selling our current home, moving, and then purchasing another primary residence at our new location (Phoenix metro area). I have enough cash to put 20% or more down payment on a primary residence purchase, is it better to put little or no down (VA loan eligible) on the primary residence and instead use my available cash to purchase 1 or maybe 2 SFR or Multifamily rentals?
Having listened to a lot of the BP podcasts and reading forums, I am rethinking my approach to better leverage myself to be able to purchase 1 or 2 rentals in the near future.
In the past, I have bought/sold six primary residences. I am fortunate that I was able to afford putting down 20% or more. Now, I feel wiser (or at least I think I do) and maybe this time I will take advantage of a VA loan with no down, and redirect my capital towards funding a couple of rental purchases (buy/holds).
All comments and advice are greatly appreciated.