I guess ill try and bring you all up to speed with my current position. I would like to start investing in real estate I like the buy and hold models I have been researching. I do not own any real estate yet, so I am renting. My rent is ridiculously cheap about $350 a month. All mortgage/ loans that have been suggested to me usually require me to have the house as my primary residence. If I were able to rent out the entire property I would be making much more then If I lived in it. My basic math on the properties would be rents on a duplex of $650-800 per unit, and about $1200-1400 on the single families I have looked at. My question is, Is it feasible to rent while purchasing properties? What loans should I ask about? Would it be a wise move to try and invest this way?
I forgot to mention that I have some money saved up for down payments.
I've been renting and I started investing while renting. My rent is also ridiculously cheap for my area so I'm staying put while acquiring properties. I am in the process of buying a duplex that I will house hack though. My housing cost, while I live there, will be reduced once I do this.
what type of loans should i be asking about? did you have a difficult time obtaining a loan?
I am in the same spot, paying a very cheap rent for my area (1k instead of 1.4k or more) and I was considering keep paying my rent and lease out the property I am going to buy, or instead sublease the property I currently live in and move to the one I will buy.
Would be only matters of number and math, or there are variable to consider?
What make more sense financially (tax wise, management, etc..)?
@Christof Gardet You can use a conventional mortgage assuming you qualify. You just need to disclose to your lender that you do not intend to occupy the property you are purchasing as your primary residence. This will typically require higher down payment than if you were buying a primary residence for yourself and the interest rate will be a little higher than your typical mortgage on a primary residence.
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