All Forum Posts by: Marc Rice

Understand how the finances work with principal/interest payments, balloon payment terms, how interest rate affects monthly payments, and timeline for your ability to refinance. 

You don't want to be stuck with a balloon payment coming due without the option to refinance.

@Josh Smith

Any way to approach it from a “second home purchase 10% down angle”? Not sure if underwriting varies for that?

@Cole Urbanovitch

Seems good, you may pay a higher interest rate under 700. FHA I think is 620+

@Roberto Candelario

I’d recommend following the 1% rule when analyzing a property. You’ll want at least 1% of purchase price to be your gross monthly rent, ex. $200k house should rent for at least $2000/mo gross.

I’d recommend a small multi-family 2-4 unit to start out in a B-/C+ neighborhood. Many good ones mentioned above

@Joseph Cameron

Partner with someone on a low money down owner occupied multi family 2-4 unit. Eliminate your biggest expense (rent) and start to build equity with your partner

@Alex Ray

@Alex Ray

Solid B, B-/C+ neighborhoods are where I personally invest and feel comfortable for the long term.

The neighborhoods listed above are spot on, I’d also consider Reeb-Hosack, King Lincoln, Berwick, Old North/Clintonville.

@Brad Walker

Buy low, sell high.

I’d recommend sticking with one lead gen strategy and mastering it before moving on to another one. Consistency will get you momentum.

@Mary M.

Yeah also use Zillow they’re good

@Mary M.

Can not confirm, it will be tough to prove. I recommend using apartments.com, Zumper, Facebook market place, and cozy.co.

@Tommy Jech

Just helped a client use this product in my market. Often times you’ll only find a down payment assistance on a single family owner occupied, sometimes first time home buyers only. Usually they’ll allow you to put 3-5% down with down payment assistance as low as 1% down.

Every bank does the DPA part differently, some give you a grant which is taxed as 1099 income usually up to $6,000 while other lenders will treat it as a 0% interest loan where when you sell the property they require you to pay the down payment assistance back. I prefer to work with a lender who does the first option as a grant vs the loan. US Bank does the loan option, not the grant so I wouldn’t advise working with them. Small community banks tend to have good down payment assistance programs.