Loan Inquiry for People with Unstable Income

[Jonny C.]

Hey everybody!

I'm a long-time lurker and voracious reader/listener to BP. Long story short, I left a secure hospital job to be a Realtor about a year ago. It has been a challenging but rewarding year. I don't think I would've finally given myself the push to get into RE investing if it wasn't for becoming a sales agent.

From any one's experience, I'm curious as to how difficult it is to get a loan if your income isn't stable? The more experience I get, the more I'm starting to get consistent business. But... I mean it's still sales.

However, my goal is to start getting some investment properties around the Bay Area. I currently live in SF. I have really good rent through a family friend so I won't be leaving any time soon.

I have zero debt, decent savings, credit score of 820. 

I was thinking of an FHA loan and then using some money I have saved up to do some light rehab. I'm interested in 2+ unit buildings in the BA. As long as I'm net cash flowing, say +$200/door a month, should they OK me? Is +$200/a door with an FHA in or around the BA wishful thinking?

My passion is RE investing, I've been hooked for a while and find it really inspiring that people (@J. Martin, etc.) from around the Bay Area are doing, what I used to think, was impossible if you didn't have a huge bank roll.

Anyways, is this doable for a person in my situation? Or should I got back to a 9-5 in order to have some steady income and then apply for the loan? 

My goal is to have a net positive cash flow of 24K/annually within a year. At this point in my sales position, that net of 24K/annually + my sales job would put me in a more comfortable place. I'm fine with being frugal for a while, so long as I can take those commission checks and keep reinvesting. 

Now, I'm rambling lol. Thanks for your time everybody! I'll be at the next SF MeetUp. Hope to meet some of you there. Grazie!

-Jon