First deal help (financing options)
Hello BP, I'm looking for some advice on the best approach to getting this property.
Breakdown of the numbers-
5plex 3 2bd/1ba 2 1bd/1ba (Completely renovated and turn key with appliances and w/d)
Asking $365K (I'm pretty confident I can get it for $350K, off MLS property)
Numbers based on $350K
Taxes $2700 annually (or $2200 owner occupied)
Insurance ~$300 month
Rent $875 2bd/2ba $675 1bd/1ba
Total $3975
(these are very conservative numbers..could be as high as $950/$750 $4350 total)
Monthly Cash Flow $1500
(assuming zero money down and 5% for 30 years and before budgeting any expenses)
Currently the only finance option I have been looking to use is my home equity loan, however that is only $100,000. So my question is in order to lock up this property what are my other options? I have considered going the FHA route, but the mortgage insurance and other fee's have me concerned. I may have bitten off more than I can chew, but what are my options. I am not apposed to moving into one of the units.
I'm new here and new to REI so if I have left out any numbers or completely over looked something please let me know. I look forward to learning more and hopefully getting my first deal under my belt. Thanks!!