Family as rental tenants

[Cody Steil]

Hi there!

New to real estate but I have been listening to podcasts for nearly 2 years now since I drive full time for work. I do have a question I am praying people can help me answer. My current home is too small for my family now so we have decided it’s time to move on, however my wife and I want to move into a camper and travel for awhile. My main concern is that my current home will not have enough equity in it to buy another property in the future and I will be stuck in a camper trying to come up with a down payment and possibly not be able to purchase. My wife’s grandparents want to move in our old home and take over the mortgage essentially but I was thinking they pay a little more to save in an account if things go sour and something breaks. I was also focused on the possibility of staying in the camper while renting out and saving money while redoing the home for a little sweat equity for the future and then leave next fall before it gets cold out. My goal is to own a duplex in the near future in Marshall Texas area with wife’s family but we would also like to spend some time off grid together hiking and spending time in the wilderness. I have the camper and finances figured out I just need help with options on the house/rental side of things. I can elaborate if anyone needs to ask questions. All feedback is appreciated

[Clarence Stevens]

I think that Brianna Reynolds is right as far as paperwork goes. I would also go so far as to say call a few property managers and find out a good rental rate in your area. Them paying just the mortgage will likely put you in a bad position. You have to account for Capex and repairs or your going to lose. Also when you have a property manager you can always pass the buck along. Ex. "It's not me they need all the paperwork" or "I'm just trying to keep the house, they say these are market rents. I gotta do things the right way and they know better. " being stern keeps you in business and is better for your tenets. You may lose a little profit, but you get rid of headaches and don't have to be the bad guy as much.