FHA financing or not?

[Darrell Carter]

Hello, I am moving to Atlanta,GA and I will be purchasing my first investment property. I have about $25k cash....... Im trying to see if I should use FHA financing with 3.5% down or pay the full 20% down payment to avoid the PMI. Example: lest say hypothetically I find a property for 100K and use $20,000 for a down payment. that would leave me with only $5,000 left..... or I use 3.5% down ($3,500) and pay PMI for the life of the loan BUT still have $21,500 to do as I please or invest in more property

[Peter M.]

Go FHA, better yet do 203k then refinance out of it in a few years. Use the extra money for another property or as reserves until you build up enough for the next property.