How do we get $ for House #2 when we spent savings on House #1?

[Jordan Spillers]

Hey! We're on the verge of acquiring property #1 (YAY!) and we're using the majority of our savings since it's not an FHA or Conventional loan. However, we've got our eyes on some other properties, and we're trying to figure out where the cash will come from for the 20% down payment for property #2. If we make something like $3,000 per year on Property #1, it would take us another 5 years to save up that cash from that rental property to acquire another one. I'd love to hear any ideas!

[Scott E.]

You say if you saved $3,000 per year for 5 years then you'd have enough to buy another... So you're targeting homes ~$75,000 that only require $15,000 down?

If that's correct, the good news is that $15,000 isn't much money. You can..

- Pick up a side hustle and save up $15k in 6 months (uber, mowing lawns, post mates, etc)

- Reduce your expenses to increase your savings rate

- Buy a 2-4 unit to live in 1 unit and rent out the others, this way you can get an FHA loan with 3.5% down

- Ask friends, family, acquaintances if they'd be interested in partnering with you on your next deal