All Forum Posts by: David Jean-Georges

@David Jean-Georges

Sorry about your situation. I totally agree with @Michael Baum, you really don't have options unless you could do a HELOC, depending on if you have any equity or if you 'overpaid' for the house last year. Unfortunately, Deltona isn't close enough to Disney to really do well with Airbnb. I do have friends that are successful in Sanford, Deland etc, but it is harder.

If you are really in a bind, maybe consider selling your house subject to the current mortgage (this will only be attractive to a buyer if your interest rate is 4% or below since the mortgage is still so new AND you have equity. IF...that is the case, you might get enough cash to go buy a multi family and have a better shot. 

As far as DSCR, they are higher interest rate and generally 20-25% down payment (some exceptions could get you in with 15%), so that is definitely not an option for you. If you are a Veteran, you could use your entitlements for a VA loan (0% down) Parts of Deland are eligible for a 0% down USDA loan, but the requirements for you are higher (credit score/income limits).

Hope this helps, best of luck.

First thing @David Jean-Georges, arbitrage is not investing. It is a job.

We get this question/idea weekly from folks looking to get started. Like you, most don't have 2 nickles to rub together but still want to get started.

Frankly, you don't have the money to get started on any kind of investing. Arbitrage will cost you at a bare minimum: first, last and deposit. Any owner who thinks about this will want a premium for the rent and maybe a larger deposit.

Then you have to furnish it which could cost 15-25k. That all depends on the size and area.

Then it comes down to being in one of the most competitive markets in the US. There are a ton of STRs in Orlando. I have a pretty good feeling you will lose money hand over fist on something like this. The Orlando scene is great if you have a 9bed/10bath fully themed out. They bring in the cashola.

What you should do is live cheap. Save every dime. Put money into fixing that bathroom. Then you can think of renting a room. It won't bring in much. Save all that comes in from that to get to a decent down. Then start looking for a place.

Maybe turn your current home into a LTR, use FHA to buy a 4 plex. Live in one, rent the others. Continue to save. Then move, rent that final unit after refinancing out of the FHA.

There are a lot of ways to get started in investing. Maybe try wholesaling? 

Do a search on arbitrage and you will find a ton of info on here.