All Forum Posts by: Mike Street

@Zander Kempf thanks for the insight!

My capital is being killed by inflation while it sits in my savings account. Should I put most of it into index funds while I continue to build savings, learn, analyze deals, network, etc?

Thank you!

Mike

Hi Everyone,

The mortgage guy I've worked with on two primary residence purchases is saying Fannie requires 25% down for an investment property. And the lender wants to see 3-6 months reserves which is understandable. Are there any local banks or credit unions that only require 20% down?

Thanks!

Mike

Good luck!

10% is pretty typical. 

Hi Cam, 

Congrats on your purchase! I strongly recommend you read Set for Life by Scott Trench. The best move you could make to build wealth is to move into another duplex, triplex, or 4 unit and live in one of the units. You'll keep your first investment and only need to put down 5% on the next investment since you will be living in it (I don't believe you can have two FHA loans at same time). But you can put 5% down with a conventional loan.

Cheers!

-Mike

@Will Fraser do you have a sample you could share?

@Joseph Firmin Got it. Thanks for your help!

@Joseph Firmin and the other partner that put much less money in the deal would see a much greater return on investment. The investor would be fine with that because he is still getting 10% return on little effort. Is that safe to assume?

@Joseph Firmin thank you for your feedback. How about when one partner contributes much more capital and the other partner handles the operations and found the deal? If the equity is still split then how is the deal made attractive to the partner who has more money in the deal? The assumption is they would have a smaller CoC return and ROI.