I dont own my own home

5 Replies

Will I have trouble starting out asking for a loan for a rental property if I don't own my own home?

I am debt free and have good credit and I have been at same job for more than 2 years.

Second question is have a partner a good thing starting out or is it better to go it alone?

Thanking you in advance for your time and comments.

William,

Nope to the first question (they don't care if you own your own...just be sure you are working with an investor-friendly lender), and for the second- it completely depends on what you are trying to do.

@William Fritsche . You should not have any issues buying an investment property even if you don't own a primary residence. Just be ready to meet the criteria of a larger down payment and higher interest rates. Otherwise I don't think a bank will care. Do you need a partner of this deal? If you can do it alone I would probably go that route.

Partners - how well you interact with friends and family will provide some insight into working with partners you can trust. How well do you trust family and friends? Assuming they were astute individuals would you or could you trust any of them with thousand if not tens or hundreds of thousands of dollars of your money?

I've had partners, and its mostly worked out well. However, I've also been witness to partnerships that have gotten ugly. 

My view is that partnerships in real estate work really well when their is a written partnership agreement and the goal is to widen the bandwidth of the partners to process more, and or to leverage available capital to acquire more.