New Real Estate Investor in Nashville

[Carl Fitch]

Hello everyone! I am currently an undergraduate student and plan to move to Nashville for my internship at PWC next summer and then pursue my graduate degree afterwards. I plan to rent for a few months, get a feel for the area and then hope to purchase a home sometime around next January and rent out any spare bedrooms I have for a few years until I become more established in my career. Eventually (within 5 years) I would like to move back to my hometown in Northwest Arkansas and keep this home in Nashville as a rental property. I forgot to mention that I have family in the Nashville area so I wouldn’t mind coming back to check on this property regularly. 

Does my plan sound logical? Does anyone have any similar experiences? Should I rent for the 4-5 years I'm in Nashville? Does anyone have any insight into what properties are doing well in the area (SFR/condos)? Any advice on how to find good deals? I am currently reading Brandon Turners book on rental property and hoping to learn as much as I can over the next year. My budget is $300,000 max and preferably under $250,000. Any advice would be great for me! Thanks!

[Reid Chauvin]

Seems like a solid plan, @Carl Fitch. Financing a property as an owner-occupant and later turning it into an income producing property is a great way to get started. First question I would have: how are you going to qualify for a loan? For a conventional mortgage, (the loan type best suited for your plan), you will need more than twice as much monthly income as monthly debts (including the new mortgage, student loans, car notes, credit cards, etc.). That may prove to be a challenge if you are pursuing a graduate degree. You do have the option to get a relative to co-sign on the loan with you so that you can use their income to help you qualify. Be aware though that this mortgage will be counted against them as a debt for them going forward until it's paid off.