multiple loans

[Drae C.]

After reading the fha loan requirements I realize it will be a 3 years before I can begin to invest in real estate. I would like to know if I can get a fha loan and multiple conventional loans all at once. I believe that with that amount of time I could have excellent credit,  enough money saved for a fha loan, and the 20% the bank requires. If possible than I would start with 2 multifamily properties. What do you think?

[Patrick Britton]

You can have an FHA loan as well as up to 9 additional financed properties. However, the FHA loan must be on your primary residence which is owner occupied. Where do you get the 20% from? The bare minimum down payment on an investment property is 15%, and that's for a single unit property. As soon as you get into duplex, triplex or four Plex down payment jumps up to 25%

You may want to consider getting a four Plex and living in one of the units. Using an FHA loan, you'll only have to put down 3.5% and the guidelines require that the rent of the other three units cover your entire mortgage payment: principal, interest, taxes and insurance. Thus, you are essentially living mortgage free.

Feel free to private message me if you have any additional questions