All Forum Posts by: Emily Simmons

An afterthought: Does it help the forum if I just make this my random question thread?  Or should I start a new thread for each question? 

And how much down plus cash on hand, typically?  

@Jason Wray I didn't specify; I'm sorry. It would be for STR properties. I already have a primary.

So I have 1099 income, business income, and unearned income from two different sources. It doesn't add up to a ton, but it's livable. My credit is over 750, and I've owned my home for close to 20 years, and have a good bit of equity in it. I can't get a conventional loan because of the crazy income situation, so would I need a DSCR loan? And how much would a lender want to see for cash on hand? Is a home equity loan ever a good idea? I ran the numbers last month, and it seems like it would eat into my gross a good bit. I'm looking to buy STRs, fwiw.

Any other advice is welcome!

@Bruce Woodruff I appreciate it! I'll definitely post my questions.

I think my biggest fear is basically blowing it and losing a bunch of money. Or netting so little it isn't worth the headache. Then I wonder how much capital I really need. I'm looking at properties that are $200k-$400k. I keep hearing that you shouldn't invest money that you can't afford to lose. Well it feels like I'd never be in that position. If I were, I wouldn't even need to invest. My financial upbringing was very conservative... do the job, do the 401(k), don't get risky. And REI is risky.

After that, I like to know as much in advance as possible... for example, a resort has condos for sale and housekeeping is part of the HOA fees, but what all does that include? Do I still want my own independent housekeeper to turn over the property in between guests? Etc., etc.

But as far as info goes, I DIY, so I have an OK handle on houses. Whenever I do something new, I find contractors on YouTube and watch their videos on repeat and take notes. I worked for a real estate agent for about 18 months, but I didn't get into how the deals were structured. I did some of the paperwork, but most of what I did was marketing. None of that "feels" like enough knowledge.

My ultimate goal would be to own properties in places I and my family already enjoy visiting, but make them nearly full-time STRs.

I'm still busy saving up capital; what should I be doing in the meantime? I have an LLC just to keep myself motivated. It's easy to feel crazy and inadequate for thinking I can eventually do this. What can I learn while I save so I know how to spot and jump on a good deal when I'm able? I get the sense I'm either overthinking things or missing key pieces of this process.