Hi everyone, I begin residency this summer in Nashville. My wife and I were planning on renting, and this is still the most likely scenario. Recently my parents proposed the idea of them purchasing a home that we would live in for the 4 years. We would cover the monthly expenses, and they would cover any repairs that came up. At the end up 4 years they would decide what to do from there, likely sell if profitable or consider renting. The loan would be a conventional 20%, there is a property that will be sold, and possibly they would 1031 some of the profit into the down payment.
I casually listen to the podcast and read the blog postings. I plan to become involved in real estate at some point after residency. But now that this possibility has come up it has got me wondering if pursued, what would be the best way to go about it.
Does anyone have any thoughts regarding this arrangement? Any thoughts about alternative ways to arrange the deal, or make better use of the full downpayment? - perhaps some sort of low downpayment with use of the remaining downpayment for improvements/forced equity?
Perhaps the best/easiest thing is to rent and all this is just a thought experiment, but I'm curious to hear people's opinions. Any thoughts I'd be very grateful! Thanks!
My daughter and son in law purchased a house during their residency. Used a physician loan. Low down easy qualifying, A little higher interest rate. Need to shop who lends in TN.