Newish to real estate

[Kyle Moreau]

Good evening, 

so happy to be here, and look forward to getting involved in the world of real estate investing. I've been thinking about getting involved for some time now, just can't seam to pull the trigger. I've purchased homes before. Just not for investment purposes. I would like some advice on lenders on what my options there are and what is the best route to go. To one day not be dependent on a job. Would be my end goal. But for now just starting would be great. 

[John Karg]

Hi Kyle, 

Welcome to the site! If you've owned your own property before, then you are already well ahead of most beginners, as you already know what it takes to maintain a property. Now all you need is to study your local market with some basic principles in mind, and you'll be collecting rent checks in no time! 

As far as lending options, it all depends on the amount of cash you have available for the down payment and the property type. Personally, I think house hacking is a great strategy and it's how I bought my first property (buying a 2-4 unit property and living in one unit while you rent the others). This allows you to get the lower interest rate associated with an owner occupied loan, while also being able to use the other units' rental income to qualify for the loan. Starting later this month, it will even be possible to buy a 2-4 unit property with only 5% down on a conventional loan. 

However this isn't the only option, as I know there aren't too many 2-4 unit properties up in Destin. You can also always buy any 1-4 unit property as an investment property without having to live in it, with down payment requirements starting at 15% for a single family.  

There's a lot of different options, and no right answer--it just depends on your personal situation and goals. It can be overwhelming, so you are totally free to call or message me anytime to talk through any ideas or different options!