Purchasing Second property, DTI Qualifications

[Anthony Rodriguez]

Aloha,

First time posting here on BP and would love to get some advice on purchasing a second property out of state as properties here in Maui or sky high.

Ideally I’m trying to purchase a second property to use either as a rental or Airbnb property and want to know if I would be able to qualify for another mortgage so I can set goals for myself.

I’m currently paying down debt by this summer and should have saved for a relatively small deposit by EOY 2019.

Here is my current position.

Purchased 1st property as a USDA in Maui

USDA Ln: $400k

Mortgage: $2202

Consumer Debt: $0 (06/2019)

Owe Aprx: $385,000

Home Value: $500k

Income: $74k yrly

Down payment: $23k (12/2019)

720 Credit score

Im looking to purchase something small, preferably in a wooded mountain area (ideal for short term rental) but open to anything affordable.

Right now I have my short term goals set out but been wracking my brain trying to figure out the next best possible approach to REI.

Any help or advice would be GREATLY appreciated!

Mahalo!

Anthony R

[Anthony Rodriguez]

Aloha @Ken Crewdson

I know how it is in Maui, house hacking would definitely give you an advantage here. If you have an extra portion in your home or a garage you can convert that would bring in decent income with the rental market being as high as it is here in Hawaii.

I would definitely want to dive into buy and hold and trying to figure out my next plan of action for the end of this year. In the meantime I’ve been scouring BP Podcasts and posts to try and educate myself a bit more.

Mahalo,

Anthony