Buying a Home in Grad School

4 Replies

Hi everyone! 

I would like to buy a multi family home while I am a grad student. I am transitioning out of active duty service and will hopefully be starting grad school next year. 

Of course, I'd prefer to House than rent for 3 years. I'm just not sure what the best approach to secure funding is. I currently have a personal residence converted to a rental with a VA loan SFH and another SFH that I bought With a tax lien, so I own it free and clear. I'm not sure what work-study is like in graduate nursing school, so I'm not sure if I'll have W-2 employment.

I’m still pretty new to RE, especially when it comes to property acquisition, so I’m not entirely comfortable with private lenders and hard lenders, etc. Just trying to learn what options I have available to me. Thanks! 

If there is equity in the two properties you presently have sell them and make the step up to multi unit investing. You will end up farther ahead and financially more secure, cash flow wise, than with your SFH investments.

I would normally strongly advise against having any dead equity sitting in a investment property but in your case a large enough DP may be all it takes to get you conventional bank financing for the rest.

I would try talking to a bank or Credit Union about a potential home equity line of credit especially on the tax lien house you own

Could I do a 1031 Tax exchange or something? Is that something you still need proof of income to obtain? Taking out a HELOC to put a down payment on another loan is a little too risky for me.

@Ashleigh Evans with a 1031 you can move your equity into a new property,  Typically this covers the down payment but you will still need a loan to cover the remaining amount of the purchase price. .