Feeling hopeless. I need help
I want to buy a duplex and live in one of the units. My ultimate goal is to have a portfolio of real estate and be wealthy, but I want to start with a duplex I can live in. If I had $20-$35K I could start this path of financial freedom, but saving that much would take years and years. I want to start now while I'm 26. I took a home buyer 101 class that gave me a certificate that acts as the down payment for a house in Boston, but houses up there are too expensive. I wanted to take another class to get the certificate, but to take a multifamily home buying class and in the south coast where I live, but there are none available. I've thought about crowdfunding and looking for investors but i dont know...I feel like I know where I want to go but I cant because I dont have the money to get started. What can I do to get down payment and closing costs money so I can buy my first duplex while young?
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Also considering taking a step back over the next year/2 and really start saving for investing. Whether that means moving in with parents, getting a roommate to lower living expenses and cut back on eating out/going out. patience is a virtue and we all want to be wealthy and financially free but sometimes we gotta just go through the struggle and stack up so we can get in the game like some of those who didn't have to struggle
Can you get free rent right now by living with an elderly or disabled person who needs assistance? I've heard there are services that arrange this. That would accelerate your savings.
I dont understand how I come off like I dont already know all of this. All of this would be factored into my rent that I would charge, AND factored into my savings. So I'm not understanding what is prompting this assumption and post? I was asking for ways to get the down payment faster. I already know the other things (reserves for vacancies and repairs). I've worked all of that out in my ind already. It wont be a nightmare for me because I will do it the right way.
I never knew this! I'm going to look into that, thanks for the suggestion.
These types of programs do exist. My wife is a real estate agent and she's had a couple clients who have received their mortgage thru NACA, Link here.
No lie this is what they offer to first time buyers,
- No down payment
- Below market 30 & 15 year fixed rate mortgage
- No closing costs
- Unprecedented buy-down to virtually 0%
- No points
- No fees
I should note I don't have an affiliation with them or anything just want people to know these types of programs do exist. I think their helping to build the bubble but that's another discussion all together.
I just signed up for a workshop. I'm excited!! :D
Sorry I didn't get to reply earlier in the thread. I had a glitch posting, which dropped the banhammer on me.
Yes, you can house hack (single family home up to 4 plex) with conventional or FHA financing (VA Loan too, for vets lurking).
So much of this falls into what I call, "Priming the pump". Old wells needed a cup of water to prime them. Put a cup of water in, pump, all the water you want comes out. If you were really thirsty, you could drink that cup, but go without the rest of what that well could produce.
Likewise, you need to put a little in to get all that you want out. Unfortunately, that means money in this scenario.
You have time to learn. You have time to earn more money. You can reverse house hack (be the tenant) with negotiated terms to reduce the rent and put more away. Start a side business (doesn't have to be real estate related). Join a REIA, get inside a few wholesale deals, then do your own.
Read books, listen to the podcasts. Use this time to train.
Then pull the trigger when it all lines up. And it will line up.
And if you get down, or dejected, just remember that 90% of the people you encounter every day have absolutely no idea where they're going. You can't hit a target if you don't know it's there.
You know.
Grow into it.
It's not going to be easy, but it will be worth it.
I haven't read this entire thread, so bear with me, Raeshelle...You need to take a look at the training Ron LeGrand provides his students.
Ron has long been an advocate of 'buying' properties with NO cash and NO credit. It's simply a matter of buying with terms. This involves marketing on your part. You need to find FSBO sellers that are willing to "sell" their home to you on terms. As Ron proclaims, "No terms, no deal".
It's a great way to get property without investing your hard-earned money.
Raeshelle Cooke -- I've read through your entire post + all of the responses, etc,...
I've just GOTTA comment:
1 -- Your goals, at such a young age, are WONDERFUL -- and I wish that I had pursued those goals at your age!!!
2 -- Do NOT let ANYONE, or ANY opinion, knock you off track!!!! Your long-term goals are AWESOME, and are VERY worthy of pursuing.
3 -- I understand your LONG-term goal, and the steps/methods that you ASSUME will get you there. Just keep your mind OPEN to the fact that there may be several (currently unknown to you) methods (or stepping stones) of how you can "GET THERE"!!!
4 -- How familiar are you with 'wholesaling'? This is an avenue that could be a way to 'dive into' the market, and meet TONS of people, and gain lots of valuable experience, ...and make some GREAT INCOME along the way (which you'll need, to fulfill your goals).
5 -- Keep in touch, and just wanted to say: Best of Luck to You (of course)!!!
Cheryl