All Forum Posts by: Grant Schroeder

Hey @Joshua Larson, second homes are hard to justify for an underwriter. Do you have a US address, even if not a primary residence, that you use as “home base” when you are stateside? Your best plan of attack would be to buy the current home you are under contract on as an investment property. Is the downpayment your current hurdle between a second home and an investment property? I have several clients that work internationally, but buy here in the US so it is not impossible to do.

Well said @Dan H.!

Thanks for sharing @Jeff Shipwash!

@Amy Silva When you sell property in california, your property taxes automatically jump to 1.25% of the sales price. The best way to structure this is to have your parents add you to title and 6 months later, do a cash out refinance to pay them out their equity. This will keep your property taxes lower and not trigger a signifcant increase upon a sale of the home. You will want to get preapproved with a lender prior to getting under contract with your parents, so you know you can qualify for a cash out refinance in 6 months. Then go ahead and draw up a contract with the terms you and your parents need so that you can create a win-win for both you and them. Please do not hesitate to ask more questions on this!

@Eric Samuels once you find a good lender stick with them and do not shop around. A good lender is worth their weight in gold. If you continually shop around on a great lender you will just annoy them and they will not want to work with you in the future. If you can find a great lender early on as you are building your portfolio, stick with them!

@Robert Jensen if you purchase as a second home you cannot use the rental income from the existing tenants. If you purchase it as an investment property, then you can use 75% of the current gross income from the existing tenants to help offset the new mortgage. Let me know if you have further questions on this!

Congrats @Cade Olof! Thank you for sharing!

Welcome @Ben Spaeth! Are you planning to use a VA or FHA loan for your 4 plex house hack? Would you be open to doing a 10% down no MI portfolio investment loan on a 1-4 unit in Mesa, AZ as an alternative to house hacking?

@Jacob O'Malley check out Arizona or Idaho!

Hi @Bryce DeHaan, Thanks for posting, and thank you for your service to our country! Your best plan of attack right now would be either to 1) House hack a 2-4 unit with your VA or FHA loan to build momentum or 2) Purchase a 1-4 unit investment property with 10% down on a portfolio loan there in Arizona. Do you currently own your home? You are definitely on the right path! Let me know if you have further questions. Glad to answer them as you are getting underway on your REI journey.