All Forum Posts by: Mj Mckinley

@Shawn Ackerman Awesome man thanks!

@Tavaris Little that's awesome you were approved for an fha loan man! Congrats. It's hard for me living in San Diego because properties are more expensive which makes my debt ratio too high after adding in the mortgage. I am trying to find an investor that will mentor me and help me secure a loan so I can get a deal done. 

I am a newbie to the real estate game, and I would love to have a mentor show me the ropes. I am interested in the brrrr technique, but i lack the knowledge and capital to get a deal done. I would love to have a mentor help me out and together get a deal done. I will be the renter, so there is a possibility for an FHA loan, and I can also provide labor as well as being a good tenant...obviously! Please contact me if you are interested!

@Thomas S. The only debt I have is student loans. The issue I am having is that if I try to get an FHA loan my debt ratio will be too high (after adding that mortgage) for the amount of money I currently make. Therefore, I would have to get a conventional loan, and I do not have access to the capital to put 20% down. I was looking to see if there was another way to invest in income properties with putting little money down that doesn't require as low of a debt ratio as FHA.

@Shawn Ackerman Thanks for the advice Shawn. Are there any specific articles or blogs you know of that you can direct me to regarding this?

@Mindy Jensen, From my understanding HM lenders will finance up to 100% of the purchase price plus some of the repairs. I would use private lenders to finance the rest of the repairs for the flip. 

Repairs on a rental is another expense I don't have the money for. In a flip I can find HM and private lenders to cover my costs, but with rentals, I cannot. That is the issue I am having. I can save up and live like a pauper, yes, but I was hoping there was another way...

Thanks for the input!

That did help Arpan, Thanks! Can you please elaborate on why HM would eat me up if I'm not careful? What precautions should I be aware of? If you have a link to something that can help educate me that would be appreciated!

Hello Bigger Pockets people! I am new to real estate investment and I am having trouble figuring out where to start. My goals are to create passive income and invest more in rental properties; however, I do not have the money to do so. I cannot get enough private money for a down payment through a regular bank, and my debt ratio is too high for an FHA loan. Therefore I was thinking perhaps it would be better to get into rehabs using hard money loans to start. Is this a good idea? Or are there alternate ways to invest in passive income properties that I do not know about? Thanks in advance!