My dream home

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Hello everyone! David Here.  After becoming disabled, investing is about all I can do these days.  And I can't do that well. LOL  But we have invested in a few properties in the Ft Lauderdale, FL area and in my old home town of Winter Haven, FL.   We closed on a 1894 sq ft, 3 bedroom, two bath lake front home with dock, boathouse and lift located on Lake Howard in WH. (Closed 4/24, rented out at $1500 a month on 5/5)  Then snagged a 1344 sq ft. two story. 3 bedroom, 2 and a half bath, 2 car garage town house on Lake Hartridge in WH. We closed on it 5/15/15 and have 3 people wanting it.  Carpet went in today.   $1050.00 a month was the last price I heard on it.  It might bring in $1100 which would shock me.  Then just today, an offer was accepted on a 1148 sq ft 2 bedroom 2 bath condo on Lake Buckeye in WH.  We close on 6/1 if everything is ready.  It has all kinds of new stuff in it and only needs some paint on the inside and then it is ready to go.  A family illness forced the sale.  It should rent for $850 to $900 and go pretty fast.  All 5 of them paid off with no mortgages.  Sounds pretty good right?

Well, it does until you run into your dream home!  I was born in Winter Haven, FL and I have always had my eye on a few older homes I would love to live in.  OK, historic homes.  Lake Howard in Winter Haven, FL, is where some of the first homes of the city were built on a lake.  The city incorporated in 1911 with about 440 citizens living there.  Well my dream home was built in 1920, and in my opinion, is a grand old home.  I want it bad.  But, we just bought 3 properties cash to put the cash to work.  Enough to buy my dream home outright. LOL  We have a home in Pompano Beach, FL that would sell for about $160k.  I got a cousin looking for a place to live for him and his two sons.  They don't stay with him all the time.  They would in this home. LOL.   He pays $1000 a month right now and has for 6 years or so.  He thought he was buying a house but he did not have it locked in like he thought.  So he has been paying rent for all these years.

I would like to put a deal together for about $200k to $250k.  The house will appraise for well over $300k.  I think more like $400k.   I have not bought anything on credit in forever and it has hurt my credit score a bit.  Bad enough I don't have a FICO score right now. LOL  I opened a credit card to help get one.  Cash is king but it don't help the credit.  I had a 740 earlier this month but this new credit card dropped it 66 points.  That really bummed me out.  But it is climbing back up.  I am trying to figure out which way to go if I really want this home?  Which way do I go for?  Do I sell a few investment properties and buy it outright?  I like the properties we have.  Sell one and put a mortgage on the rest of it? Or just put 20% down and let my cousin make most the payment and I kick in the rest?  This way I can keep the Pompano Beach house which will go up in value.   I kind of need to stick around the Ft Lauderdale area a while longer.  But I hate to lose my dream house in Winter Haven, FL.

Is there a lender or investor that would be willing to take a chance when I don't have a FICO score and the other credit scores close to 700?  It will be back over 700 before too long.  My cousin owns a aquatic weed control business with a business partner.  But he went through a divorce about 7 years ago or so and we know how that usually goes.  It was not pretty. LOL  I want to help him build his credit back up as well.  Any suggestions on helping me or us get a loan for my dream home and helping my cousin rebuild his credit?  OH, I don't owe any other bills.  Well a cell phone bill and a utility bill.  I think I got a decent income coming in.  LOL  I have a little SSDI coming in as well.  Tell me what you think or what you would do?  

Thank you for your time and help!


Hey @David McBrayer . I wrote a post for the BP blog just today about improving your credit score

With all these properties paid off, perhaps you could get a local bank to give you a portfolio loan to make the purchase of this house? A portfolio loan is one that is kept in-house rather than sold, so they can make their own rules. Having a high net worth but no actual income hurts your ability to get a traditional mortgage.

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