Sacramento is a great market for multiple reason... rent growth rent triple the national average, plenty of appreciation coming from Bay Area migration of millennials, tech companies moving out here and tech employees from the Bay Area working remotely out here, and if the high speed rail project gets completed in the next 10-20 years and connects Sacramento to SF in less than an hour the Sacramento market will absolutely EXPLODE.Plus, beginning investors like the idea they can go and visit the property any time they want, specifically in an emergency situation.

Do you have other savings (an emergency fund)?

An FHA allows us some flexibility which is nice because we can lay down a lower down payment and keep some of the money in reserve in case of emergency, but the appreciation of a home in Detroit with a conventional loan is much higher.One other option that we have explored is buying a rental for the purposes of Airbnb in a different state.

We have a nice emergency fund that I am comfortable with, but not enough savings on top of it for a 20% down payment on an investment property.

@Larry LongJust how much money do you have available to invest in this property AND still have a reserve for emergencies?

My only options is FHA, due to a credit problem I had several years back that I’ve slowly bounced back from.To provide context, the seller is selling due to family emergency.

Then there's emergency egress and light/air requirements for bedroom/living spaces.

Everything from lack of patients to work style to damage to your reputation can happen in a short period of time and cost you far more in the long run than a few thousand dollars for an emergency repair.

Declares emergency, effective on passage.

I just went through this on an 8 unit one I've got north of fort worth and they will look at "Debt Service Coverage Ratio"--most banks want you to have some cash in the bank (in case of emergencies) plus a DSCR of 1.25 or better, and often they want to see you still have some money invested in the property (from fixes, make readies or whatever)1.25 is NOI/loan repayment.