No cash.. Buying first rental
No cash, want to buy a first property and scenario is, we want to borrow more from the bank than the purchase price will be of the home we buy. So, home is 70k. If we get FHA LOAN, 3.5% down($2450) , but we want money to have incase we find something wrong after purchase and fix up, so 90k borrow? (So now a little more down payment too)
Is this even possible??? And how? Anyone know??
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#3 Managing Your Property Contributor
The bank isn't going to lend you more than the house is worth. You will need the down payment and closing costs. Do a home inspection and it should give you an idea of the condition of the home. No home is perfect. If you don't have extra to fix it up right away, you may need to live in it as is and gradually fix it up. I'd suggest buying a home that is in good condition and maybe just needs minor updates (paint, flooring) which you can do over time.