WHAT SHOULD I DO FOR MY DOWN PAYMENT?!?!

[Abner Sanchez]

So have $30,000 in cash reserves but I do not want to use it all on a down payment for of a house (via Conventional Financing/ 20%). Now I know what you're thinking "just do the FHA route" well that is 100% true I cannot because I can only get qualified for a $50,000 loan and in my area where I live I would be living in a very bad area(basically the ghetto). And so because I am putting 3.5% down that will not give me enough buying power to live in a good area, now opposed to me doing conventional and providing that 20% or around $25,000, I can live in a MUCH Nicer area. BUT the thing is this period, I have been absolutely killing it in the markets day trading I have started with $2300 and I have managed to turn it into $30,000 And I feel like I can double that $30,000 especially this year with the way the markets are and I do not want to use that $30,000 as my down payment. My question to you would (be as an absolute beginner into real estate) do you recommend that I get a loan from the bank as a down payment or use some form of down payment assistance to cover 100% or some of the down payment. I just feel like I don't want to use all my cash for the down payment because then I won't have anything left to trade and I have been absolutely crushing it. And with that I look for your help.

And No I cannot get a cosigner because both my parents are not legal citizens and I'm the only child, I have no one to be my cosigner.

[Scott E.]

A lot going on in your post. I'll answer with a few bullet points...

1. You need to save more money. A lot more money. By the way it sounds, you have no money for a down payment (you plan to invest that $30k back into the stock market).

2. An FHA loan is a great product for a first time home buyer.

3. You will not be able to qualify for a mortgage with your day trading income. You need to get a real job.

4. You will not double that $30,000 this year day trading. You are statistically much more likely to lose all of it. This is not an opinion. Mark my words, you will lose it if you keep gambling.

5. Turning $2,300 into $30,000 in 1 year is an amazing accomplishment. But you did not do this because you are skilled. You did this because you were gambling and got very, very lucky.

Don't take my post the wrong way. I'm just telling you what you need to hear, as I don't want to see you lose all of that money that you managed to accumulate this past year.

In summary: Stop day trading. Get a real job. Keep saving. Spend the next 6 months getting educated on real estate investing before buying a deal.