All Forum Posts by: Ikhtiyar Uddin

@Ray Harrell - Thanks for your reply. I just was not sure about the owner occupancy part of the loan. I asked the mortgage broker. He said that as long as the monthly payments are made, they generally don't care.

Rest of the loan information I already know. Of all the 4 family properties I looked at in NYC, I did not come across any whose numbers are as you mentioned (2 pays for PITI). For this property, PITI comes to $4900. Currently, all 4 units together are renting at $6000 (they are at market rate). Plus there are basement units that I can rent out as storage for extra income (perhaps another $1000). And PMI will drop off after 2-3 years, which will save me $400/month. I am hoping to have positive cash flow. Let me know your thoughts.

@Ceasar Rosas - Parkchester / Castle Hill neighborhood.

@Ray 

@Ray Harrell - Thanks. I does make sense financially to live in my own building. I can probably take the stress. I am not sure if I want to put my wife and kid through the same though. Perhaps I could move in to find out if we can handle living in my own building. I can always find an apartment if I don't. 

@Steve K. - You are correct. One unit is going to be empty for me to close. That is the one I will have to occupy. Rest of them have leases.

@Steve K. - hmm ..I think I am getting a owner occupied loan then. I might have to stay in it.

Hi guys. The property in in Bronx, NY. I work in the city.

@Jessie Tetreault - I am getting a conventional mortgage. I was going for a FHA but the property failed the self sustenance test with 10% down payment.

@Ray Harrell - I was living in North Jersey but was looking to either rent a place in the city or live in my property if needed. I would rather rent nearby to keep a little distance (again not sure which is better). 

I am about to close on a 4 family property. This is my first investment property. Some folks are recommending that I live in one of the units or the basement so that I take better care of the property and better control the tenants. But I am not sure if I want to share my privacy with my tenants or get too close to them. i can either live in one of the units or the basement or rent the whole building out and rent an apartment nearby with the extra income from the rent. Since this is my first property and have never been a landlord before, I am not sure which way to go. What do you guys suggest?

I am a first time home buyer with excellent credit and income. I am ready to close on a property. The broker I was working with for the last 8 months seemed as good as any so I initiated the process with him. He said the best he can do is 4.25% interest rate. Just for the heck of it, I checked with a couple of other brokers and got offered 3.75% rate with $8750 lenders credit. When I informed my current broker that i am getting better rates from other banks, he asked me to trust him and tried to warn me that not all the mortgage brokers are 100% truthful and often do bait and switch. But he said the best he can do is 3.875% interest rate and $3500 lender's credit. 

Since i have been working with him for the last 8 months, I sort of trust him. He has good feedback on Zillow. So I went with him.

Did I do the right thing? Is there a way to screen good mortgage brokers from not so good ones?

Thank you all for your response.

The property is in a desirable location in Bronx, NY. It is a four family property with 2 section 8 tenants. One with an older lady, section 8 pays about 75% of the rent. Seller said she has been in that apartment for the last 5-6 years. The other is a lady with a young son, section 8 pays 65% of her rent. The seller just renewed both their leases for 2 years. And the rents are at market. I saw both apartments and it seem in good to excellent condition. The seller said both are good tenants. The lady with the son just complains a lot but pays rent on time. None of the tenants are late.

The 3rd unit is rented to 4 individuals with above market rent. And 4th unit will be vacant. 

With the current rent roll, it seems like it will cover it will cover my mortgage, PMI and Insurance.I will have about $600 left to cover bills and other expenses. I am putting 10% down.

This is my first investment. I have a full time job.

The price is good for the area. My only worry is about the section 8 tenants. Should I proceed? Are there scenarios I am not considering? Or am I asking for trouble with the section 8 tenants.