Investor · Oklahoma City · Member since 2016 · 7 posts · 2 votes
I am soon to purchase a single family home that is going to serve as my primary residence. I'm a first-time home buyer and using a VA loan, so I have the option of putting 0% down. I do however have the funds to put up to 20% down. I would love to keep this house as a rental when I move out someday.
That being said, I would love to hear what your mortgage and payment strategy would be. Of course your goal, besides having a great place to live for the time being, is to have a cash flowing rental property when you move out 2-5 years from now.
Odessa, TX · Member since 2016 · 47 posts · 14 votes
9y
Thank you for your service.
Remember to leave emotion out of it and think "Future Rental".
Consider what's important to you in buying a house like remodeled kitchen and bathrooms or just keep it "move in ready".
As for my experience, having a 800 credit score really helped me in being approved by a 2nd Mortgage.
So I'd recommend using your VA (30years) to find a house that you can live comfortably and using your 20% downpayment for the future rental with more then likely a different bank. (Another 30year)
USAA was my VA loan
And
Wells Fargo approved my 2nd
Keep it 30years so that your not burdened with the monthly payments. And if you play your cards right, your rental could possibly pay both mortgages!..or already most of it. This is what I'm set to do.
Mount Carmel, IL · Member since 2014 · 1 post · 0 votes
9y
Keep in mind that most banks will require you to have 2 years of rental income before they'll allow you to count that income when calculating your debt-income ratio.