Rental Property Investor · Wabash, IN · Member since 2021 · 18 posts · 15 votes
I am just getting the ball rolling in Indiana. My goal is to have acquire my first property by May and hopefully a 2nd before the end of the year. (Wabash and surrounding to be specific). As I am analyzing deals daily and doing plenty of shopping, I've realized I need lending. I listen to the BP podcast religiously, and have heard "investing with little to no money down" multiple times. However, I'm having a hard time not getting lost in finding a lender or losing sight of the strategy more less. I can easily find multi-family properties less than 100k and SFH for 20~75k. However, for someone that doesn't have a boat load of cash to throw down, I get confused on where I can find financing that will fit my situation. Any advice is very welcomed. Indiana or not.
Investor · Connersville, IN · Member since 2014 · 28 posts · 4 votes
5y
Have you come across any SFHs with a small mother-in-law unit in the back, or a basement that could be finished and used as a unit? Only have to make it there for a year while you rent out the house if you go FHA.
Investor · Cincinnati, OH · Member since 2018 · 304 posts · 185 votes
5y
There's alot of lending options for conventional lenders and non conventional. For conventional lending, there's many low down payment loans (FHA 3.5%, conventional 3% first time home buyer are examples).
For non conventional there's seller financing, hard money, private money, lines of credit, ...... many more.
As you listen to the podcasts and read the forums, write down in a list what you hear for strategies. Talk to multiple lenders to figure out what options you have (each one is different).
Lender · Nationwide Lender · Member since 2019 · 391 posts · 140 votes
5y
You first want to make sure that your credit is in good standing and have a 2 year work history. A conventional lender will need this if you want to go that route. Work on getting your credit score to at least 720 or higher, 780-800+ is best and will allow you the better/cheaper rates/Mortgage insurance. Connect with a lender to figure out a game plan on the lending side now, vs later.
Rental Property Investor · Wabash, IN · Member since 2021 · 18 posts · 15 votes
5y
@Robert Molloy
I’d love to house hack but haven’t came across any properties within a reasonable distance of where I live now to make this possible. Due to my current 9-5 i cant extend my range TOO much.
Rental Property Investor · Wabash, IN · Member since 2021 · 18 posts · 15 votes
5y
@David Kelly I have a 750 credit score with an average 9-5 income for my area. I am searching for doable options besides a conventional with 20% down. With multi-family being very scarce in the area I’m able to live in (due to 9-5) it’s tough to go that route as well.