Getting started - Have cash but cannot get a loan

[Timothy Wright]

I'm a homeowner that is interested in investing in a second house with the intention to rent it.  I know that I can pay off a new loan because I am getting $28,000 as a gift every year (Thanks Pop!).  The problem is that when I discussed how much of a loan I could get, the banker told me that even if I put $80K down on a $150K house, he couldn't approve a loan because I only make $50,000 a year at my job. He was not reassured by my claim that I will have over 2K a month to pay off a loan.  According to him, I could only afford $690 a month. 

I feel like I have to rent out a room of my house just to show a little more income, but surely new investors don't have to do that. Any advice on how I can use my gift money to invest when I cannot get a loan because I only make $50K? 

[Merrill Delimont]

Hello Timothy,

One option you may have is finding an investing partner. Someone who has experience, credit, and leverage. Message me back if you want to hear some additional thoughts on this subject