Deal Evaluation - Airbnb
Hi there,
Can somebody help me to evaluate the following deal: https://www.zillow.com/homedetails/124-N-Grant-Pl-Orange-CA-... Iam only qualified for $750k while the purchase price is $1.25 mln. I am only approved for $750k. Can I put down 5% with conventional loan and use the estimated rental income to supplement the rest of the loan? It is within 5-6 minutes to Disneyland and according to AirDna estimate each unit can bring up to 80 grand a year if I Airbnb it.
Looking forward to your thoughs.
Most Popular Reply
With 20% down which you say you want 5% down, hmmm payment $9200 PITI
owner tried to lease it for $2995 in May and found no tenants to pay that high in Orange.
Near a mobile home park, go look at the park and the people non housed around it. Also around Terrace and Crystal View apartments there are alley tents. Walk around the alleys at night. Look up the tranq epidemic.
Too far from Disneyland and Knotts and it's not cute would need some major cozy decorations and security. too far from Chapman College and not safe enough or cottage/cool.
***Close to UCI medical and has opportunity for travelling nurses if you make it super safe and cameras as they will like the garage.
Jumping from $750000 to $1,300,000 you need 45% down to get the payment down to what you can fit. That would get payment down in the $7200 range that you can qualify for, unless somehow you marry someone who has high income and no debt this week.
My advice~~ stop looking at prices this high. It only causes stress and spins your time.