Hi all,

I apologize if I didn't post in the right forum.

Parents are in a pickle.  In a Ch 13 which will be discharged upon close of escrow, leaving them with only $70K.  Dad's score is around 590.  Dad is 72 and mom is 71 with poor health.  Mom's dementia/Alzheimer is worsening each day, while Dad is fairly healthy.  Between both parents they are pulling in $3150 from social security with no other income.  They should be closing within 3 weeks.  Dad's been looking for rental here in Southern California area, but with a fixed income very little options exist.  They want an income 2.5x and higher credit score.    

My wife and I just closed on a VA IRRL a few weeks ago. I retired 6 years ago and wife retires in about 2 yrs from military and we are planning to move to Tampa. Because of that, I had recommended to my dad that maybe he considers Florida since cost of living is cheaper and your fixed income will go further. Plus we will be moving there in a few years and I pulled the grand-kids card on him.

I spoke with my wife about options to help them out.  

1)  Cosign for them on a rental.  Looking for 2-3bd/2 ba one story home with garage.  We thought about downsizing but they are coming from a 2400sq ft home and after purging 40 years worth of "stuff", they would still need to utilize a storage unit.  Rental costs are just too much here in Southern California.  We looked at rentals in Tampa and Vegas (Areas chose because we either have relatives are close friends living there)

2) Cosign on a mortgage.  Not sure with the CH 13 what our chances would be.  

3) Take out an investment property loan and rent to my parents.  I looked into this and it seems there are quite a few things I need to consider as far as taxes and my parents Medicare status goes.  

And then there is my reservation.  As far as a mortgage goes, my parents' fixed income is concerning.  However, my dad is willing to put up to $50k towards a down payment.  My wife and I have been paying down debt and really trying to control our finances since we are planning to make our first rental property purchase by next summer.  Didn't fully grasp the idea of investing until recently.....yeah, I'm a late bloomer. 

I'm hoping someone here can point me in the right direction.  This is my "why" for wanting to invest.  Never want to be in this situation.  Feel real bad for my parents.  I know that it was their fault for ending up in this situation, but as the eldest child, I feel an obligation to at least help out.  After all, they cosigned for a couple loans when I was just a junior sailor in the Navy.  

Suggestions?