Options for home purchase

[Crystal Lee]

I am currently renting a single family home in Texas that will be up for sale in approx 4 months. I do not qualify for a loan alone for the house based on my income but have a sister willing to partner with me to purchase the house as an investment or consigner. I'm not sure what the best way to go about this is and am looking for suggestions. My sister currently has a paid off rental property and an existing home loan on her home that she lives in. We need guidance as to how to go about this. Should I apply for a loan and have her as a consigner ? How are taxes handled if we are both on the loan? Should we both apply for loans together to have the home as an investment property? If it is considered an investment property can I live in it? Should we take a loan on her current paid off rental property and use it as a down payment on this home ? Would that be considered a taxable gift? We are giving ourselves a crash course due to time limitations and are possibly confusing ourselves rather than learning what we need. I'm not sure what type of lender to go to for this situation, a credit union, a mortgage broker or a bank.

[Brent Coombs]

@Crystal LeeI am aware that you are a first-timer, which is EXACTLY why I wrote in investor-speak! You NEED to become familiar with all the terms I used, if you aren't already. 

You NEED to think of your first home purchase as an INVESTMENT, not a shopping desire. Otherwise, you might as well go to that other website devoted to "How to buy what you want whenever you want it, regardless of how much it will be worth once you buy it" - called SMALLERpockets.com ! It's so good, soon all your money will disappear so quickly, you won't need any pockets at all !

But please, by all means, post the clear numbers that @K. Marie Poe requested. All the best...