Newbie investor located in Long Island NY .. HELP!!

3 Replies

Hi everyone,

So i have about 40-50k cash saved up and trying to invest into my first deal. I had in mind to purchase a 1 or 2 family home and buy/hold . Only problem i think I’ll run into is i didn’t work on the books this year therefore no w2 forms . I don’t know if that will stop lenders from helping me finance the purchase? Any advice would help are people investing into this market? Anyone ?!

@Kevin Paez

You won't be able to get a loan to buy and hold (rental property) without w2 history. At least, most banks won't want to get involved. I have this problem with buyers that get paid all cash.

If you're looking to flip a home, you can get hard money loans without W2 history since the loans are based on the deal and not your personal credit history. They just want you to have some money in the project, which you will with the cash you saved up.

@Christopher Phillips

Thanks for the reply . I made a big mistake switching to an all cash job this year . Figured more money but in the end not having w2 forms is hurting me more now that i wanna start learning to invest into real estate. What if i have 1-2 people who can co-sign for me? Would that help at all assuming they have w2.

Originally posted by @Kevin Paez :

@Christopher Phillips

Thanks for the reply . I made a big mistake switching to an all cash job this year . Figured more money but in the end not having w2 forms is hurting me more now that i wanna start learning to invest into real estate. What if i have 1-2 people who can co-sign for me? Would that help at all assuming they have w2.

Yes. You can get partners that will use their credit but your cash. Or a combination of their credit and some of their cash as well.

Don't forget that you'll also need to account for closing cost and rehab costs for the purchases. Even recently rehabbed rental properties still might need some money put into them.

The good thing about investing, there are many scenarios to finance a project.