All Forum Posts by: Angelica Morales

Wanted to give everyone an update. The advice I received was top notch and really helped me make my decision. Two years ago, the economy shut down, interest rates were rock bottom, and I was working from home. Instead of taking from my IRA, I took a part time job with Amazon at the beginning of the pandemic. Taking safety and health precautions I was able to work this second job at 30 hours a week during a time Amazon was paying $25+/hr for shifts. I also received two "essential worker" bonuses. Three months later I was able to accumulate the 2nd half of my down payment and found the perfect property for me and my child in a wonderful neighborhood and school district. I was able to secure a conventional loan with a great rate, super low PMI, and even received a sellers credit in a market with historically low inventory. The advice, hustle and creativeness of those on this forum helped me find my way to purchase my first home and I am so grateful for that and happy I took a chance on myself. Thank you all!

@Carl Fischer @Randy Bloch @Scott Jensen Thank you all for the advice! The general consensus is, don't do it. Which I was learning towards but just wanted to hear from more seasoned investors.

With the passage of the CARES package allowing IRA withdrawals without the 10% penalty and being able to report the distribution evenly over 3 years, I have been considering taking $20k out of my IRA to pay off a loan that is keeping my DTI above 45% and preventing me from qualifying for an FHA loan with a loan amount enough to purchase in Socal. I have excellent credit, no debt besides student loans with a manageable payment and have been in my industry for over 10 years. However, every article I read says it's not advisable to take from an IRA. However, I would like to hear what BP has to say. Would taking from my IRA at this time be advisable to start my REI career? Thanks in advance!

I currently rent in Socal and pay considerably less than market for my 3-bedroom 2-bath home and its been so hard deciding whether to purchase a primary residence or invest elsewhere. We live so comfortably and any comparable house I buy will most likely result in my mortgage payment being higher. I do plan on doing some marketing to see if I can find a motivated seller so I can purchase a primary residence. But if I don't, your post motivated me to be creative and not be discouraged. So thank you again for sharing! 

Thank you for sharing this!

Hello BiggerPockets!

My name is Angelica and I have always dreamed of owning a home. In fact, in high school, I won a small college scholarship that answered the question, "How will homeownership benefit you in the future?"  However, at the age of 22, the stork dropped off my toddler sibling and soon after a judge granted me permanent legal guardian.

For a long time buying a house seemed out of the question. I drained my retirement accounts, maxed out my credit cards, commuted a total of 3 hours a day to get to and from work, and had to raise a small child while attempting to reverse the traumas he had been through. But alas, the choppy waters have calmed and here we are, 8 years later, ready to finally start the homeownership process.

 This time I'm not alone. I have my brother, a healthy, happy, 11 year old, and my friend who has helped me with my brother so that I can finish school and grow my professional career. We currently live in a 3 bedroom, 2 bath house but are tired of renting. It's time to have something of our own. Us living together, in a home I purchase, will be our version of house hacking. 

My biggest goal will be to minimize housing expenses as much as possible. My mortgage must not exceed $200 more than what I currently pay in rent. Thus, I will be looking for a bargain. Maybe a 2 bedroom that I can convert into a 3 or some other form of creative strategy. Enter BiggerPockets! I am currently in the middle of saving for a downpayment and inhaling any real estate book I can phase but my goal is to be in a home by 2022. (Hopefully sooner!) I look forward to meeting new people, making connections, and learning from everything this platform has to offer. Thanks for reading!

@Marco Santarelli I am currently looking at the Carolinas and Tallahassee.  Do you have any markets that you might recommend? Yes, as much as I would like to invest in my hometown the numbers just don't make sense, I'm glad a fellow BP'er can agree. (Means I'm learning!) 

@Yosef Katz I am currently reading the book along with a few more. Do you have experience in long-distance real estate or looking to venture outside of your market?

I know I am a year late to this thread but the 2 articles @Ali Boone are great as I begin my research in investing in out of state markets. Thank you! I am also a SoCal neighbor, in West Covina.