I’ve been lurking on BP for about 6 years, but I think I am finally in a financial position to pull the trigger soon. My hang up has been that my wife and I are both self employed, so It took us a few years to get things right. We have 0 debt, excellent credit, and qualified for a conventional loan last year. We make close to 200k a year BT, but, previously we wrote off too much to qualify for a meaningful loan in this market. Last year our Net income was 90k together on paper, and this year should be better after we pay our pound of flesh to the tax man again. We will be looking at having about 50-60k for a down payment after a couple of deals go through for us (she’s a realtor, and I am an S corp that provides Capt/Managment services to luxury yachts).

We are finally looking at trying to house hack at our first home, but we've been very discouraged with how expensive any multi-family unit is in the West Palm Beach area (at least one were i wouldn't have to sleep with a shot gun on my chest). My other thought was to get an FHA loan (203k or Regular FTHB) and rent out a room in a standard 3 bed room single family home.

My other though: I grew up in the southern Indiana (Louisville metro area) and I was looking through some listings there and through rent to retirement in Indiana. The barrier to entry is about the same if I were to buy a 150k single family with an investors loan at 25-30% down, vs buying a SFH here with 3.5-5% down here. It's still a stretch in SFL as we don't qualify for a very big loan (350k last year, perhaps more this year).

My rational for Out of State was that we currently have been grandfathered in with a below market value rent at 1500/month in a perfectly confortable place. We have an excellent relationship with the owners and they have told us we are welcome to stay with only nominal increases for the next 5 years or more.

I know the market is dipping hard right now, and I am not in a big hurry to simply buy anything just because I have money burning a hole in my pocket. I also know that we may be poised for a blood bath in the Multi-family market. So perhaps just waiting and saving for another 12-18months wouldn’t be the worst idea while I absorb as much knowledge as I can about investing. I would really appreciate any input from all the brilliant people here on BP. Thank you very much and all the best.

Fort Lauderdale, Florida

2 Votes