Once I exceeded 4 loans I fell under new underwriting standards. (2008-12 era) 20% on primary and 25% on rentals got lower rates and no PMI. I hate paying interest/pmi or owing people money.
I’ve gone from 10 loans on 13 properties to 6. I dump all rental money back in to paying off the loans to generate more free cash flow. I have about 6-8 years left to own them all outright. May not be the best use fo cash financially but at this point it’s all fu money. Nothing better than $1000+/mo per door cash flow after expenses including property management. I probably spend an hour or two a month on it, mostly bookkeeping or trying to pretend I’m needed. :-)
Investor · Las Vegas, NV · Member since 2013 · 8k+ posts · 10k+ votes
7y
4-5 years. Bought a new primary and a rental every year until we were set. 20% down on primaries, 25% on rentals. Hard to do in some markets but Vegas is cheap compared to MN & CA where I lived before.
Rental Property Investor · Durham, NC · Member since 2016 · 7k+ posts · 7k+ votes
7y
@Rahul Handa. I’m on track to reach the first level which is Just cover basic living expenses in about 5-7 years. True FI will probably take 15-20 years
4-5 years. Bought a new primary and a rental every year until we were set. 20% down on primaries, 25% on rentals. Hard to do in some markets but Vegas is cheap compared to MN & CA where I lived before.
Why 25% on rentals? I thought you only put 20% down.
@Rahul Handa. I’m on track to reach the first level which is Just cover basic living expenses in about 5-7 years. True FI will probably take 15-20 years
Once I exceeded 4 loans I fell under new underwriting standards. (2008-12 era) 20% on primary and 25% on rentals got lower rates and no PMI. I hate paying interest/pmi or owing people money.
I’ve gone from 10 loans on 13 properties to 6. I dump all rental money back in to paying off the loans to generate more free cash flow. I have about 6-8 years left to own them all outright. May not be the best use fo cash financially but at this point it’s all fu money. Nothing better than $1000+/mo per door cash flow after expenses including property management. I probably spend an hour or two a month on it, mostly bookkeeping or trying to pretend I’m needed. :-)
Once I exceeded 4 loans I fell under new underwriting standards. (2008-12 era) 20% on primary and 25% on rentals got lower rates and no PMI. I hate paying interest/pmi or owing people money.
I’ve gone from 10 loans on 13 properties to 6. I dump all rental money back in to paying off the loans to generate more free cash flow. I have about 6-8 years left to own them all outright. May not be the best use fo cash financially but at this point it’s all fu money. Nothing better than $1000+/mo per door cash flow after expenses including property management. I probably spend an hour or two a month on it, mostly bookkeeping or trying to pretend I’m needed. :-)
Isn’t it more risky in paying off your mortage early? I thought its a bad idea because you’re opening yourself up to getting sued.
Bolingbrook IL · Member since 2018 · 57 posts · 13 votes
7y
Originally posted by @Account Closed:
Less than a year. Bought a house for 10k, rehab was 10k, sold for 42K, bought a condo cash for 45K, airbnbed spare room and saved all of income, bought a FHA 3.5% down SFR 2 months later, moved in, rented out second room at condo #1 and the other two rooms at my 3/2 primary, saved all of income and some from the 4 airbnb rooms at that point, bought another 3/2 condo 3 months later. Current room count is 7 on Airbnb, income is about $5000, overhead is 2k of that and I live on less than a $1000 per month so there is a 2K surplus after overhead.
Wasn’t expecting that from anyone. 1 year damn. Good job.
300/300 base insurance. $3million umbrella. If the house is in your name and you’re sued. It doesn’t matter if it’s paid off or you have the cash in your bank. In fact the suer would prefer you had cash.
Insurance is super cheap these days.
Plus you’re probably more likely to do something personally to get yourself sued than the property.
300/300 base insurance. $3million umbrella. If the house is in your name and you’re sued. It doesn’t matter if it’s paid off or you have the cash in your bank. In fact the suer would prefer you had cash.
Insurance is super cheap these days.
Plus you’re probably more likely to do something personally to get yourself sued than the property.