Have a clear & concise visions for the type of property and guests you'd like to host.

"Do not allow your losses to reach X percent of your income". 

I'm definitely new and I don't have all the logistics planned out this is just the vision now I'm trying to backwards engineer and figure out my steps I thought my first step would be to househack a 4-Plex on an FHA loan and then graduate to six or 12 units and then move on to bigger properties most likely outside of Chicago to your point. right now I am very confused this is the second time someone has said that four unit is not like a six or 12 but I'm not really sure in what ways is it the underwriting is it the management is it literally every aspect of it.

@Jake Brooks from our website, this is NOT a solicitation, only for information:A bad tenant can lead to thousands of dollars of losses via unpaid rents, legal fees and property damages.

That can be a big win, but also a big loss. 

I sold the farm at a loss and took my meager funds – about $400K – and moved to northern CA where our daughter and son-in-law were living.

I believe alot of owners in the area are under insured especially when it comes to loss of income and rebuild costs. 

So my question is do I sell and take a loss of 35-40k, try to long term rent at around $2000/ month and pray for appreciation?

Lenders will need to offset this risk with fees/interest rates so they recoup losses when those riskier borrowers default. while / because lenders can’t use medical costs to judge the credit worthiness of a borrower well, all loan costs will have to go up, to spread the risk peanut butter.

That said, you must also meet the coverage requirements, loss payee/mortgagee clauses, deductible requirements, etc..