Hi everyone! I am new to this forum and looking to buy my first rental property. I would appreciate any guidance or advice you can give.
I am looking to buy either a single family or multifamily property in the Orange County, New York area. I am also open to other areas. I am considering this area because I am from the Orange County, NY area. I currently rent an apartment and work in Manhattan. Due to the high pricing in NYC I think it makes sense for me to buy in Orange County as I am originally from the area and I will be able to travel to the property within an hour or so. I plan to self manage the property
In regards to financing, I have saved up $250,000 cash that I can invest and still have enough money to live comfortably + emergency fund. I have a great credit score and a well paying job with very little debt (about $20k in student loans) so I have no issue taking out a loan.
I wasn’t sure where to start so I decided to get pre-approval for a loan. I applied for a loan with one of the larger banks and was approved for a $240,000 loan, with a $60,000 down payment. However, I starting looking at properties and I would like to increase my purchase price to $500k. Does this make sense given my financials?
I chose a conservative down payment, but I can definitely request a higher loan. I just wanted to get an application in to start somewhere.
I don’t know much about this process, but have been thinking about it for a couple years now and have decided it’s time to stop overthinking it and pull the trigger. I have the funds, but need to be more educated. I have been listening to the podcast and speaking to colleagues and a lender.
Please let me know your thoughts and if my thought process makes sense!
