All Forum Posts by: Keira Hamilton

If it's not going to be your forever home, then another thing to consider would be how long you would plan to be there. Real estate does continue to appreciate over time, but we're also in a period right now where home values in many areas are going down. My property has dropped about $100k in the last year. Of course, no one can say for certain what's going to happen over the next few years, but you wouldn't want to be in a position where 3 years from now you want to sell and the value is too low to make that a good option.

Many lenders won't let you use a loan as a down payment. You have a few options: 1) You can purchase a property as your primary residence and likely see better loan terms. 2) You can create a savings plan to build up the needed capital. 3) You can invest in a less expensive market where your capital will go further.

I would ask yourself what your reason is for wanting to own the home you live in. People tend to have an (understandable) emotional connection to their home and often feel more autonomous when they own it. While there's validity to that, those feelings can get in the way of making the best financial decision. If I were in this position, I would just focus on the numbers. What is the rent you're currently paying in SoCal and how would it compare to a mortgage payment should you choose to buy a home? How do those payments compare to the potential rental income of another investment property? There's not really a right or wrong answer here as every investor has different goals, but I would just see what situation would result in the highest monthly NOI.

Hey Jenn! A "higher amount of capital" is really relative. What type of investing are you looking to do? 

There are certainly private lenders who can fund 5+ units. I would be happy to get you connected with some!