Funding for first property

2 Replies

Hello all! I am new to real estate and I am looking to purchase my first two properties before the end of the year. I am wondering what the best way to finance my perchase? Are there any private leaders that you all recommend?
Originally posted by @Ryan Stucke :
Hello all! I am new to real estate and I am looking to purchase my first two properties before the end of the year. I am wondering what the best way to finance my purchase? Are there any private leaders that you all recommend?

I always recommend house hacking for the first property and maybe a few subsequent purchases if you can. Use FHA financing because you can get the most doors with the least down payment.

@Ryan Stucke I find local lenders the best to work with rather than large national lenders. Build a good relationship with them and they will open doors to finance more complex deals later on. They also know your local market better such as titling, taxes, zoning, etc. those things matter for a smooth closing. I househacked using a conventional loan. Yes it required a larger down payment but an FHA loan is not competitive in high quality neighborhoods I prefer investing in. There too much competition from cash buyers and other conventional approved buyers that an FHA just won’t win in a multiple offer scenario. Something to keep in mind if it’s a seller market.