Pay for full property or only down payment when wanting multiple?
So my name is Jared (I'm 25) and I've been wanting to invest in real estate and I feel like the area I want to invest in is perfect for making money for my needs. I lived in the town that I want to invest in and I really know the market and where to buy. The town is a college town and they always need rentals. The Nice thing is that this is not a party school and people go to school to go to school which is nice when wanting to invest in rentals. These are my questions....... I can pick up a pretty much turn key house for about 50-60k. Maybe needing paint and simple stuff like that. I personally have 13,000 saved for me to start this and I have a family investor that would be willing to almost get me the rest. These houses rent for right around 700-800. Would it be smarter to Pay say 45k and finance the rest and only have super low payments and use the equity into another house? or put a lot less down? This is basically what I'm trying to figure out in order to start this process. I'd like to get 4 rentals in one year once I start and to a lender after the first, would having almost the whole thing paid off and show it bringing me a positive of like 500-600 a month or saving some of the money two have a 2nd down payment.
Option 1
House Price 50,000
Down payment 40,000
Payment 100ish
Property income 750
(in the positive 650)
Option 2
House price 50,000
Down payment 10,000
payment 400ish
Property income 750
(In the positive 350)
Which one would a lender like to see in order to get a 2nd home, then 3rd so on and so on.
Thanks, Jared