All Forum Posts by: James Cabral

@James Cabral Love the vision and always planning one step ahead. As others have mentioned, getting that second home in Houston may be challenging from a lending prospective.
First step would be connect with a lender and lay out your business plan. Who knows, you might be able to use the rental income from your HH (if you have signed leases) to offset your DTI and qualify for that next investment property.

But keep it simple. Focus on this first house hack acquisition. Get it under contract and stabilized then plan next steps. Why I say that is to not get stuck on step 3 and 4 if you still need to complete step 1. 

For me personally, my investing goals/ strategy changed 6 months after my first house hack. Long term vision still stayed the same. 

Hello James, Welcome. My wife and I are in a very similar situation. we are looking for a multifamily house hack to start then following it up with my wifes "forever" home after. looking for the multi to be the base for future investment properties. I am in Bloomingdale in north NJ. hit me up if you want to bounce some ideas off each other. 

@James Cabral

The house hack will be easier to get started on than the out of state investment. This is because you can do a lower down payment for the property you live in and use the other units rents to help you qualify for the loan. 

The Houston property you will need to do 20% down (or more) since it will be a full investment property. One way to possibly speed it up is to purchase it as a second home or vacation home doing 10% down with specific lenders. 

Finding the best way to utilize your current capital to spread it across both deals and have the numbers still make sense with be your main priority to focus on if you want to get both these deals done this year. 

Good luck!

@James Cabral This is certainly possible. The two main constraints will be lending and downpayments. Do you qualify for this and do you have enough to put 5% down on your house hack and 20% down on your investment property. 

You can use a DSCR loan if the debt on your primary is impacting how much of an investment property you can qualify for. You'll be able to use 75% of the projected market rent to qualify for the investment property in Houston.