All Forum Posts by: Mark H.

Hello,

Currently in the market for a 2, 3, or 4 unit property - this will be my first home and I intend to owner-occupy one of the units and rent out the rest. I had just assumed that FHA (or 203k) would be the only way to go, however I have noticed other options. I am looking for a loan that meets the following criteria:

• Less than 10% down
• Can be used on a 2, 3, 4 plex
• Owner occupied property
• No Mortgage Insurance (PMI/MIP)

FHA loans seem to meet all of these criteria, though MIP is required - this can add quite a bit to the cost, just looking for other options. If none exist, my plan would be to get a FHA loan and refinance to a conventional loan after it reached 80% LTV. Suggestions?

Thanks everyone!

Hello everyone,

I am currently looking to buy my first property. About me:

• Decent credit score/history
• Enough capital to cover down payment, closing costs, repairs, etc.
• Working 30-40 hours a week (do not have 2 years of employment history)

What I am looking for:

• Buy and hold multiplex (2-4 family)
• House-hack
• Using FHA loan (possible 203k loan if necessary)

I am wanting to move out (currently still living at home) and live in a house hacked duplex/triplex/quadplex. I have spoken with a mortgage lender at a national bank and have attempted to go through a pre approval process for a FHA loan...however they would not even begin the process because I lack 2 years of employment history. Is this really a hard requirement? I am currently working as an intern (30-40 hours a week) year round, and my income is enough to cover the front and back end ratio requirements. Any tips/suggestions on how to move forward? I really would like to take action soon rather than waiting to get 2 years of employment history.

@Craig Curelop, thank you for your input, I guess I will just get to saving and hopefully be able to take action in a year or so when I have more capital. Thank you for your recommendation, I will definitely take a look at that book. That is, after I finish the other 20 books on my list...

Unfortunately, no, they will not help me with a down payment - however if I only need ~$15k to start off safely, it shouldn't be much of a problem for me. If this number is closer to 20k or 30k (all costs included), I may need to just delay this endeavor until I graduate. Of course, this is not ideal and I'd much rather do it sooner rather than later...but I may not have a choice. 

I have considered other avenues of real estate such as wholesaling, however I really think landlording/house hacking is what I'd like to get into ASAP, I just don't want to get in way over my head with something I can't afford.

Hello everyone, I am currently 19 years old and in college for IT, however I am very interested in real estate - my parents have about 10 SFH and I grew up surrounded by talks of real estate, and I know it is something I really want to do. However, at the moment I can only work part-time, making less than 20k a year.

The idea of "house hacking" seems like the best option for my situation IMHO, and a decent multifamily in my area can go for around 100k. My hopes are that I could finance this purchase with a 3.5% down FHA loan. I have decent credit (>700), and a few years of credit history. My parents will not cosign for me, so I would like to do this on my own. My question is: how much money do you all think I should save up before jumping in?

Here is how the numbers play out in my head for a 100k property:

3.5% down payment - $3500

Closing costs (5%) - $5000

Home Inspection - $300

6 Months expenses - ~$600/month * 6 = ~$3600

Repairs? - ???

Total - $12,400 + Repairs

So I suppose it would be wise to save at least ~$12,000 before purchasing my first property? I know there are ways to do it with way less...however I would prefer to minimize my risk and have reserves in my bank account so that if I get hit with a large expense I am not SOL and broke. Please share your thoughts, and any tips you may have! 

Thanks everyone!

Wow! Being 18 years old this story truly makes me smile. Hard work and dedication pays off for sure. Inspiring story!

Hello all, my name is Mark and I am an aspiring 18 year old from southwest Ohio. I don't really have much experience except watching my parents rent/flip houses, and I have saw both their financial knowledge and stability increase tremendously. Because of this, real estate has become of interest to me over the past couple years, and just looking for knowledge from people smarter than me. Thank you for your time.