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Updated almost 5 years ago on . Most recent reply

User Stats

24
Posts
23
Votes
Richard Wilson
  • Forest Hills, NY
23
Votes |
24
Posts

I feel like now is the time ... but am I ready?

Richard Wilson
  • Forest Hills, NY
Posted

I have lurked BP for a few years, posted a few times over the last two years, always with some form of trepidation of entering the real estate market .... I really do believe now is the time, but ****, I don't even know if I'd qualify for a mortgage.  Here's my story, I would GREATLY (and that's an understatement) appreciate any advice you have. I was in finance, I do understand #'s but how I handle it wouldn't reflect that ... I am risk adverse, from a monetary perspective, which explains why I am now a Train Operator working for the city lol.

I have no large debts looming, the wife and I maybe have $4k combined across a few CC's.  

Salary: $67k/annual but you can't escape OT, and I was at $90k last year

I was left an estate, sold it, invested it conservatively - I utilize gains to help an aging family. Last year I partnered with a banking buddy of mine to purchase a home in CT, cash for $175k (I finance it, he does all the work - we split profits), but after a more critical inspection, he found water damage that ultimately led to the deal falling through. Like, an idiot, I had already had securities liquidated for the deal, so they've been in a money market since early last year.

Credit Score - 680 ... I have money, but still manage to pay a bill one day late.  I am in idiot, don't say I didn't warn you.

The deal from early 2019, was going to be a fix and flip, but I know now, that isn't the route I want to go. I want to own units, and lots of them. I reside in NYC, but want to invest in Jersey, where I can still find multi-family homes for sub $200k. My question is, I've heard working for the MTA is a big plus, but how bad will my credit score impede on me obtaining a mortgage? I want to get into the BRRR method ... If a mortgage broker/lender reviews my finances, will they grant me a mortgage or attempt to force me to collateralize my estate investment in order to secure a loan? That is something I would never do ... I would simply reinvest my funds back with my money manager at that point.

I feel like now is the time. I am also looking into moving into one of my investment properties, and renting out the other units.  As a first time home buyer, are there any lenders like Fanny Mae that host programs that may boost my potential as a qualified buyer?

I have so many questions.  Please .... any advice. Thank you for reading, if you made it this far.

Most Popular Reply

User Stats

1,380
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1,186
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Twana Rasoul
  • Real Estate Agent
  • San Diego, CA
1,186
Votes |
1,380
Posts
Twana Rasoul
  • Real Estate Agent
  • San Diego, CA
Replied

@Richard Wilson if you want to be a conservative investor, I am a big fan of starting off locally with a house hack. For your situation, look into buying a 2-4 unit property using an fha loan to put 3.5% down. This way you’ll have a place to live and at the same time have an investment property. I would not suggest going out of your area to invest unless you have at least done the above first.

Best of luck to you!

  • Twana Rasoul

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