Renter question

8 Replies

My name is Kareem Harmon I'm a real estate investor out of the New Jersey area I'm just starting out and I wanted to get some advice. I'm not sure if this applies to all states put is it true that if you are a real estate investor and you want to rent a property you have to live in for at least a year and if so do you think it would be wise for a new investor to purchase a multi family home that way you can live in one side and rent the other side out.

Hey @Kareem Harmon ! Welcome to BiggerPockets :). That's not quite the case. That information probably comes from if you want to purchase a multifamily property with a low-money down loan (like an FHA loan or a 5% down conventional loan). Since those have to be owner-occupied if you want those sorts of down payments. Otherwise you have a 25% minimum downpayment with a conventional loan.

If you have any more questions, I'd be more than happy to help you.  I'm not a NJ expert, but I'm sure I can figure some things out or find someone who is!  

I don't know about New Jersey but in Florida you do not have to have lived in the property at all . You can purchase a property and start the rental process immediately. In your case perhaps buying a multi family home living in half and renting out the other half wouldn't be to bad of an idea but I highly doubt you would need to live in a property for 3 years in order to rent it out . That to me would be absurd, and ruin the investment processes. Good luck! And happy holidays!