Not Quite Sure How to Start

3 Replies

Hey everybody. This is my first post and just thought I'd get some advice on how to start, but first I'd like to give some more information on myself. Im young, and I work a full time job with crazy hours that nets me just over $2k a month. I currently live with a friend, but was looking into buying a small multifamily home. I have around $8k to invest with at the moment. FHA seemed like the way to go, but because of my car payment (sick of my many Craigslist cars dying on me) I'm not sure I'd be under their 41% of debt rule they have. At least not after taxes anyway, I'm not sure if they measured it against my gross income. Any suggestions to help me out?

Thank you.

@David Williams  welcome to BP, one could always attempt to get owner financing. or do some house hacking to save more cash.

Hey @David Williams  , welcome to the BP community!

If you haven't done so already, be sure to check out the Ultimate Beginner's Guide as it is a great start. From there I highly recommend you load up the Stitcher app on your phone and then queue up as many podcasts as possible pertaining to your niche of interest. There is a cool feature in the app called "Listen Later" so when you have a second you load all the podcasts that look like there would be good to start with and mark them to listen later. Then when you are out and about driving or at the gym, you can easily and quickly focus on podcasts you pre-selected.

Now on to your questions. Financing might be tough with your debt to income ratio but don't let it deter you. It just means that you'll have to work that much harder. Talk to a mortgage broker and see if they have anything that will work for your credit/income situation. If you hit a brick wall, you'll have the get creative. You may want to start driving the streets of areas you are interested in and find multis. Write the address down and then mail some letters asking if they're interested in selling and if they would entertain owner financing or a lease option deal. If you don't know what those are, search BP. Lastly you can purchase a list from someplace like ListSource.com or other data suppliers and do a bigger bulk mailing.

These are just a couple options, I'm sure others will jump in with some more ideas. Good luck and keep at it. "House hacking" is a great way to get started.

@David Williams  Welcome to BP.  Get started by educating yourself. The beginners guide mentioned above is a good start.

It is hard to start when you don't even know your options

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