Hello! My name is Braxton. I'm currently looking to buy my first home in Connecticut. I currently live in the DC, Maryland and Virginia area, but it is way too expensive out here. On top of that, I have about 8 months left on my lease.
In order to make some income on the side, I wanted to buy a home in the New Haven, CT area no more than 325K — and primarily market to college students. My biggest concern is I'm wondering how this will affect my down payment since I wouldn't be actually living in the home.
Would love to connect with anybody that knows the CT market or overall has solid real estate experience.
Since you will not be living in the property, you will most likely have to put down 20% to 25% down as an investment property. However, I have heard of some folks finding a lender that allowed 15% down. Check with local credit unions and banks.
If you do decide to move to CT, then you have the opportunity for a very low down payment. But of course you would need to live there first before making it a complete rental.
I grew up in the New Haven area and if you are not from the area I’d be very cautious if you are trying to get student rentals. My friend and fellow investor John wrote a great summary of the New Haven market on the thread below that summarizes his experiences (he owned multiple properties.