All Forum Posts by: Alfredo Chavira

I know right!? I keep going to investopedia to read definitions and explanations of what you guys are saying, ha. I'm very new to this universe. Thanks gentleman!

All great advice thank you!

Hello, I am faced with a decision and would like some advice. I currently have a full time dependable job and about $13,000 saved up. I am wondering if I should put all of my extra income (amount of money left after all monthly expenses are taken care of, around $700 a month) in to making that number larger so I can reach the 20% down on a property in the range of $80,000 to $90,000 and create passive income, OR should I first aggressively pay off my student loans with my extra income which are at $20,000 and a 5-6% interest and then invest when I'm debt free.  

I feel like I'm at a crossroads here. My minimum payment on the loans is $152 so I can either attack that loan amount so I don't have that hanging over my head for the next decade or I can jump in to the REI game soon since I almost have a down payment saved up. Arghh!!

Hi, I'm wondering if it is illegal or if it is simply not a good idea to get a loan from say Wells Fargo, put it in my savings account and sit on it for a couple of months and then use it to help pay for a 20% down payment on a potential rental property? 

Thanks for your response. Yes I am still employed as a teacher so I am actively participating in it. Is it a decent idea to take a loan on it?

Hello, I would like some advice. I have a friend who wants to sell me his current rental. I do not have the 20% down payment the mortgage company is requiring. This amounts to $21,600. I am thinking of of using the entirety of my 403K (it is the teacher's equivalent to a 401K, sort of) and about 3,000 of my 10,000 emergency fund savings to pay for it. I did a rough estimate and I believe the cash flow will be somewhere in the ball park of $115, using the 50% rule. The home is valued at 108,000. Is it generally considered a bad idea to use retirement funds in order to bank roll your first investment? Thanks in advance.