Got pre-approved! Time to find that one great deal...
Hello everybody!
I have not been on here much lately. I spend most of my free time now trying to save as much as possible for that downpayment. I'm sure you all know how "fun" that is... Well just recently me and my wife got serious. We started driving around and looking at properties we found online to get a feel for different areas. We found quite a deal in East Orange that was close to transportation but a few days later that property turned out to be under contract. It was back to the drawing board and we decided to go and get pre-approved first before we do anything else. Long story short, TD Bank pre-approved us for $100,000 at 3.865 for 30 years. As a matter of fact that was done on the spot. Pretty exciting. No skeletons in our financial closet so hopefully the bank won't say no once we go back. They are also letting us put 10% down with no PMI. The program is called Right Step.
We spent the whole weekend looking at properties that are affordable and will generate good consistent cash flow and I must say that being in NJ it is not easy! We found a few interesting ones in Roselle, NJ. Not the best area around but we gotta start out somewhere and with a limited budget that little town appears to be an option. If anybody has some experience with that area please share your thoughts.
I looked through craigslist and the rents seem to be up there at around $1000 to $1100 a month. If everything was to go according to plan it is possible that one unit would pay nearly all expenses and we would be able to live almost rent free and keep saving for the next REI. It sounds almost too good to be true and... That scares us. Quite a lot actually.
Anyway I'm gonna go back to running numbers now. I just wanted to share and thank you all for getting us hooked on investing! I was thinking at first that I will be asking a bunch of questions on here, but truth is that the questions have already been asked and all I gotta do now is to just use the search function on the forums! :)
I hope you all have a great week!