All Forum Posts by: Marcus Gomes

Marcus, 

There is definitely a lender out there that is willing to work with you, House hacking is a great way to get started in real estate!

-You don't need to make a certain amount of money to qualify! Using an FHA loan is a lot easier to get pre-approved, but you will need that 3.5% for a downpayment as well as 2-3% more for closing cost but you can also get sellers credit and not have to pay as much upfront. House hacking and FHA loans is a common strategy.

-Think about what asset class you want to go into as well, whether you are doing a short-term rental, mid-term rental, or long-term rental, you can also use up 75% of the rent income from the separate unit if you do decide to go into multifamily, this could make it easier to qualify for a small multifamily property.

-If you have 10k for a downpayment it's good that you are thinking about having reserves, but you also have to think about closing cost, if you are worried about not having tenants having a couple months' rent would be ideal

-If you are new to real estate, start reading books, listening to podcasts, analyze deals, learn the tenant screening process, property management, see how you could mitigate the risk on the house hack, find an exit strategy, but most of all have patience. Once you are ready, I would start talking to multiple lenders see what works best for you, it would be great if you found a lender that has experience with house hackers! Have an idea of what you are looking for when you are working with your real estate agent.

Best of luck! 

@Marcus Gomes

Real estate investing can be a rewarding career for those with modest incomes. To get a home loan, look at your debt-to-income ratio (DTI). This is your total monthly debt payments divided by your total monthly income. If you have a good credit score and not much debt, you might still get a mortgage. Think about your down payment, which is often 3-5% of the home's price for regular loans and 3.5% for FHA loans. Also, think about your closing costs, which are usually 2-5% of the home's price. Save up for 3-6 months' worth of mortgage payments, property tax, insurance, and upkeep costs as a safety net. Budget for property condition and maintenance to attract tenants. Working with a knowledgeable agent and mortgage broker can help you find suitable financing options.

Thank you!

Marcus, 

There is definitely a lender out there that is willing to work with you, House hacking is a great way to get started in real estate!

-You don't need to make a certain amount of money to qualify! Using an FHA loan is a lot easier to get pre-approved, but you will need that 3.5% for a downpayment as well as 2-3% more for closing cost but you can also get sellers credit and not have to pay as much upfront. House hacking and FHA loans is a common strategy.

-Think about what asset class you want to go into as well, whether you are doing a short-term rental, mid-term rental, or long-term rental, you can also use up 75% of the rent income from the separate unit if you do decide to go into multifamily, this could make it easier to qualify for a small multifamily property.

-If you have 10k for a downpayment it's good that you are thinking about having reserves, but you also have to think about closing cost, if you are worried about not having tenants having a couple months' rent would be ideal

-If you are new to real estate, start reading books, listening to podcasts, analyze deals, learn the tenant screening process, property management, see how you could mitigate the risk on the house hack, find an exit strategy, but most of all have patience. Once you are ready, I would start talking to multiple lenders see what works best for you, it would be great if you found a lender that has experience with house hackers! Have an idea of what you are looking for when you are working with your real estate agent.

Best of luck! 

Hi Marcus, 

Your income may be enough to qualify.  It would depend on how high of a sales price you are targeting.  

There are minimal down payment options available to first time home buyers with grants and down payment assistance on primary residence transaction. 

Ideally, try to save as much as you can and keep expenses down while you go through the process of purchasing the property. 

I started my first house hack when I was 24. I’m still on my first house hack. I was a warehouse worker when I bought mine. My interest was 3.5.  It might have been easier for me because of that but I was able to save enough for 20% down.  That can be very hard when you’re not making a high income. 
if your not able to save a lot at your job you might be better off learning about real estate, learning how to be a landlord, and focusing on a new career that can get you the income to buy real estate. 
it’s a tough pill to swallow but I got into the trades and now have the skills to fix my property and starting to get the income needed to keep going. 

I had a bad tenant that costed me thousands of dollars. If you go into a deal without having the financial means it will eat you up and spit you out before you know it.  You’re young and have plenty of time to really set yourself up to be a great investor. Best of luck.