All Forum Posts by: Joe Fornasiero

@Erik R. I know people who invest in both Dearborn and Dearborn Heights. The inspections seem to be the same for both areas.

@Gabriel Meerzo I agree. The main thing is to stay patient and search for the right deal. You don't want to rush to purchase a property without a safety net then have something major happen and be unable to fix it and/or have to use credit cards with a high interest rate

@Keith White I don't see where you're accounting for Vacancy (8%) Maintenance (5-10%) and Capex (10%) you should also factor out 10% for property management if you decide to have someone else manage the property in the future. Does the $1900 in total expenses include any of the items I mentioned above?

@Dominic A. I would recommend saving up money to pay off your student loans. If you sell your home in the spring you will have to pay taxes on the capital gains since you have been there for less than two years. You will also pay 6% to realtor commission which will eat most of your gains. Student loans are also tax deductible.  I would focus on reducing expenses and saving up money to pay down the student loans as quickly as possible

@Gabriel Meerzo You may be able to purchase a new primary residence with a USDA loan and rent out your primary residence assuming you have been there for over a year. If you utilize USDA and negotiate closing costs you could get into the home for very little down (Inspection, appraisal, etc.) With that said, I think you should focus on saving more money and cutting expenses if possible to build an emergency fund in case you run into any issues with maint. or capex in the near future.