Buying an Investment property in a high foreclosure area
Hi everyone, i've got a couple questions and could definitely get some tips.
1. Is it alright to buy a 4 unit house in a high foreclosure area? I'm talking about hundreds of units. I'm thinking that since i'm geared towards renting to students, it shouldnt be a problem because there are universities nearby. I also feel that with all the foreclosures, people need a place to rent afterwards to remain in the same city.
2. I'm planning on doing a conventional loan at 5% with a PMI. The property I'm interested in is around 200k, and I plan to refinance in the future to remove the PMI. Since it's conventional, I don't have to live in it right?
3. How to structure a lease agreement? Do i just talk to a lawyer, or is there a general one that can be used as a base. I realize every state is different, maybe there's some site that helps make one...?
Thank you