All Forum Posts by: Kevin A.

@Damien Buchanan 

There is a great thread here ( http://www.biggerpockets.com/forums/311/topics/138412-diary-of-an-fha-203k-loan-deal?page=1 ) where @Clay Manship is chronicling the whole process.

Thanks all for the responses, I think I will try and find a broker to sit down and talk about it without running my credit (Perhaps printing out my Annualcreditreport.com reports and bringing them?) . It is good to hear that rates themselves are more based on Credit Score than income as my Credit is fairly good. The reason I was hesitant to speak to a broker is that if it turns out to be better to wait than I did not want credit checks from now to effect me in 6 months or so when I did go ahead and move forward. 

I'd like to get some input on my current situation before moving forward in meeting lenders for my first purchase which would be an owner-occupied multi-family house.

Early last year I got into a Union which operates as a "Hiring Hall" and I've been told that this is considered temporary employment which means that my income will be averaged over last 2 years rather than current salary.

Over the past few years my gross income has nearly doubled yearly. Using simple and easy numbers lets say $20k in 2012, $40k in 2013 and $80k in 2014.

Using these numbers my current averaged income would show $30k, but if I waited it would show $60k.

First, are there any other factors involved with "Temporary Employment"?

Secondly, assuming I could qualify with current averaged income should I go ahead or would it be wise to hold off and wait until after I file 2014 and can on paper show this increase? How big of a difference would it make and on what (Mortgage Rate, Amount, or both?)

@Abou C. I'm no expert but I have been looking into FHA and the biggest draw back I see with FHA is the Mortgage insurance with a 1.75% upfront charge and an annual charge which lasts for the loan term.( http://www.fha.com/fha_requirements_mortgage_insur... ) 

I think if one can qualify for 5% conventional loan that would be a much better choice.

@Account Closed you can find some pretty good spreadsheets in the BiggerPockets Fileplace ( http://www.biggerpockets.com/files ). Find one you like and modify for your own use or better yet take the concepts and create your own to get a better feel for the formulas.

@Marcin Ferenc  thank you, I have considered that and currently think the pros would outweigh the cons of living next to tenants as long as screened properly.

And I think in time will find a great deal here in NJ, hopefully sooner than later!

@Brandon Turner  thank you, you guys have put together a fantastic site with a wealth of knowledge.

@Shawn Mcenteer Thanks, hopefully we will both be able to find something worth while.

@Ana Nomys Currently pretty open to location, as i would be owner-occupant i'd prefer a C/B community. Anywhere from Monmouth to Essex would work for me as far as commute, but if there is a great deal outside those boundaries i'd still be up to checking it out.

Hello all,

My name is Kevin and i'm 26 year old Operating Engineer in Central New Jersey. I'm hoping to make the dive into the Buy & Hold market. I do not own a home yet and feel that a Owner-occupied multi-family would be the best way to go. I've read a ton of the Blogs and listened to almost all the podcasts here at Bigger Pockets, it has been a great resource for me.

I'm hoping to make my first purchase within a year, NJ is not a great market but it is home. Hopefully will be able to find a great place to start, I am open to any and all advice/suggestions and would love to get into touch with a mentor-type here in the area.

--Thanks