If investing in real estate was easy, everyone would have passive income.

The intent of getting a sales agent license is to educate myself in Real Estate and create some additional income.

@Chris,Interesting points but I don't look for FHA or Fannie/Freddie loans as my income varies quite a bit and I deal mainly in commercial properties so I'm usually getting a commercial loan that originates from a bank or credit union.

He calls and tells me "the income to mortgage isn't 1:1 and he is going to have to let the lender know."

-22 years old-$50,000 pre tax income from business this year-80k in savings-30k in investments-pre approved for $350,000 (had to use parents as co-signers because I started business 2 years ago and didn’t make much first year)Looking to get into first house by house hacking a 4 bed 2 bath renting out 3 rooms.

Additionally, the borrower no longer has any income coming from the subject property during these proceedings.  

(I REALLY can’t stand state income taxes.  

I used my tenant income and w2 income to put towards the next phase of rehab.

You have used home equity lines of credit to purchase investment rentals and want to know the best way to pay down the HELOCs.Between the two properties you bought, after expenses, you have $250 a month positive cashflow to use.What I like to do is pay down some principal every month with my positive cashflow.I use my extra active income from real estate commissions helping other investors to pay down the principal even more which just frees up that credit for me to use again.I know I can refinance the HELOC debt before it changes to principal and interest as it is just interest only payments as yours are.One difference is the cashflow, I have greater positive cashflow and could make the principal and interest payment in the future with the extra cashflow I already enjoy.I always get HELOCs on my income properties as well after purchasing them to pull out as much of my downpayment as possible.

I could be wrong.What you tell contractors is: if you do not separate labor from materials, then I have to report my ENTIRE payment, L&M, to the IRS as your income, and then it will be up to you to deduct materials from that income on your end.