My father drives over an hour every day for work. He works in the westchase, briar park area. We are looking to invest in the area find him a place to live during the weak while he works and maybe invest at the same time. Looking for garage apartment or something similar.
Hey Matthew - are you looking for a multifamily property? One where he could live in one side and rent out the others?
A multi-family could work but he says if he is going to buy he want to at least break even and not have to pay.
A duplex should give you that with 25-30% down.
Ronald, I do not know how much he could put into a down payment. I would have to talk to them about that.
@Matthew A Brady If your father is going to sleep there the majority of the week, I suspect it can be argued that the property will be his primary residence allowing him to qualify for a Fannie Mae loan with only 3% to 5% down. However, he likely will have to pay Mortgage Insurance which can be substantial. Personally, I am a fan of piggyback loans. For example, on a $100k property, I take out a loan for 10% and combine it with my cash down payment of 10% to meet the minimum 20% down to avoid having to pay Mortgage Insurance. A good mortgage broker will set this up for him.
On a side note, it will be hard to find a duplex in Houston where he will break even exactly. Most duplexes I've seen sell for $250k and up. He will likely only have to pay a few hundred per month in this scenario though.
Best of luck!
@Account Closed Great idea. Do you happen to know of any good mortgage brokers here in Houston/Harris County?