All Forum Posts by: Tracey Dixon

@Luc Desroches Hey! Do you still have the WhatsApp group active? Would love to join and can send you a dm. Thanks!

Hi all, thanks so much for the feedback! Essentially, it doesn't matter the number of loans rather, do the numbers make sense for what I am trying to do and can I afford it. Instead of reaching for the stars I need to aim within arms reach lol. Regardless of the decision, I do plan to live in the property.

I am working with the lender to determine my buying point because as you mentioned Nate, I'll most likely need to buy a bit below market value. You also made a great point about refinancing... I hadn't thought about that. @Nate Bell

@Stephanie P. Stephanie, I really appreciate your detailed response and guidance. My goal was to purchase a duplex but I don’t have the 15% to put down. Going the single family route is an option I’m exploring where I live in the property and rent the basement. Regardless of the decision my understanding is that the numbers must work. Thankfully the rental market is great. Here’s a quick example of the quote I was given (property:$305k, prepaids/fees: $14k, Loan 1: $244k, Loan 2: $61k, Lender Grant:$1,000, Cash to Close: $13k).

 As I continue to play around with the numbers and refocus to buying well under market, I’m positive I will make the best choice :) 

Thanks again and have a great day!

Hi BP! I've finally taken the leap and begun my REI journey. I'm currently trying to determine which type of loan I want to use with a lender. This may be a no brainer question, but seriously need advice. Based on my credit score (over 800) and finances, the lender is offering me 100% financing (80/20) on a conventional loan- owner occupied Single family residence.

It sounded great. But as I think about it more my understanding is that I’ll have two loans, two mortgages, two separate payments, and this would increase my debt - income ratio, correct? Are there other risks? Would the 1% rule apply?

I am in the market for a multifamily investment property and qualify for an FHA loan as well. Conventional would be to much for me to put down at 15-25%. Since multi families are hard to come by in this area I am leaning towards SFH w/ walk out basement to rent as another option. 80% of the loan covers mortgage 20% covers closing cost…this would help free up my cash.

The only reason I need help is because It seems more of a risk to have 2 mortgages on a SFH especially if it doesn't rent. Your advice is appreciated. Thanks!!!