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Updated over 5 years ago,

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9
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LOUIS LEATHERS
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9
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Should you use the max amount of your preapproval?

LOUIS LEATHERS
Posted

Using my VA Loan my preapproval goes as follows:


1-Unit: $484,350

2-Unit: $620,200

3-Unit: $749,650

4-Unit: $931,600

I live in Chicago, IL and I am tempted to buy a 4 unit in a great neighborhood (and live in the basement) at or around my max approval; if the numbers work of course, but even if they don't and I have to make up the difference of $400-$800 dollars, i figure its worth it  to be able to control a million dollar property in an A class area in Chicago. Plus it could act as a forced saving and buy the time I retire and its paid off. I'd be winning! Anyway my concerns are: 1. I only make 5k a month. and 2. If there's a vacancy, I have a large gap in rent to cover, with the mortgages ranging from $4,750 to $5,438. 

Anyway, I'm curious to get your thoughts? What actions, advice, tips and recommendations do you have you me. 

Thanks. 

-Louis from Chicago.

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