All Forum Posts by: Marcus I.

@Theresa Harris

Hard to say since it would, of course, be contingent upon the type of deal I could find in VA. Fortunately but unfortunately though the housing prices are more affordable in VA which naturally equates to lower asking rent price.

I would also ensure that I leverage myself properly to make at least a $250-$400 monthly cash flow, but it may come at an expense of putting more money down than I anticipated or would have like to. I also believe why I am cash flowing so good in AZ right now is partly because I bought my home low and rent has been steadily increasing along with home prices in general for the greater PHX area. 

@Darius Ogloza

Another plot twist is that I am currently unemployed so that should help my cause for the requirements of the Cares Act. Also another reason why I was looking to sell the AZ home to pool up a better down payment for a home in VA. This is also why I do not want to get rid of the home as well though because it is prividing me with a healthy $400 a month cash flow. This is why this conundrum has proven so difficult for me. =/

@Darius Ogloza & @Jonathan Greene

The only reason I am thinking about pulling my 401K funds is because of the tax exemption through the COVID Cares Act. If I don't sell in AZ, that $20K will be my only saving grace to boost my down payment/repair funds for a home in VA. That is the other piece to this puzzle. This is all of course if I keep my AZ property, I would only have a total potential of $25K-$30K to work with vs $90K pooled together after the sale of the AZ home and consolidating all other liquid cash.

Great input though guys, I really appreciate it!

Need help in making a critical decision. This is a little lengthy of an issue for me, but I’ll try to keep it short while still giving you the proper details.

I currently own a home in AZ that I am renting out and have tenants in but I live in VA with a roommate. Stats on the AZ home:

Remaining mortgage balance: $203K

Current market value: $280K-$300K

Monthly Cash flow: $400.00

My personal financials:

Current savings account balance: 10K

Thinking about pulling my 401K balance of $20K to better leverage it on real estate.

Total potential cash: $25K-$30K plus the possible $60K-$70K from the AZ home sale.

If I sell the AZ home before the end of the year I may stand to make (after closing costs, realtor fees, etc) around $60K-$70K tax-free since I will be taking advantage of the 5-year capital gains exemption rule (Owner occupied for at least 2 out of the last 5 years).

I want to purchase another owner-occupied home in VA for a future rental property as well but I am having trouble deciding whether I should sell the home in AZ and wisely use the proceeds (not spending the whole amount but putting a portion down and using some to fix it up, while also leaving a reserve to possibly purchase another home).

Right now I kind of want to keep the AZ home for the decent monthly cash flow and yearly tax benefits, but I would also like to use it to sell and possibly leverage more moves closer to me and be able to move back out on my own to owner occupy a VA loan and make some moves with that with a much larger pool of cash to work with comfortably. HELP?!

So I recently had to leave my job in New Jersey and move out to Virginia due to the current pandemic, and to be here to welcome my first child into the world (which he is due soon). Since I am not currently employed, I am having trouble finding a lender that would be willing to lend me the money needed to secure an investment property.

I can secure about $60,000 in liquid cash soon, but everyone is still hung up on the fact that I do not have any employment right now. I realize I may have to pay a higher interest rate than usual because of this reason or possibly go private money. I am not asking or soliciting myself for a loan, I am just looking for advice. But, is there anyway to secure a decent loan regardless of how much I have cash to put down? My status: I already have a primary residence in VA, I have about $60K in cash and an 800+ credit score. I am just solely trying to secure a rental property or two if I could. Any help or pointers would be greatly appreciated!