The interest rate is 7%, so we suggest this property is for someone who wants to get into Lease Options and meets the other requirements such as adequate reserves and credit.That means, they buy the property, they wind up with $50,000 in equity and they do a Lease Option to a buyer who doesn't currently own a house, but wants to.

Quote from @Vanja Dimitrijevic: Hello, I've been researching BP podcast and resources and am looking into buying another property to downsize from the current one but wanted to use the equity in my current house to purchase a new house in the area.

When I was renting (mostly houses), one of the first things I did when moving in was re-key the locks, then provide the landlord with a copy of the key.

Spend a little more money than you might have been planning to, buy in a better area (i.e. not a “turn key” 100k house off the mls), and self manage.

I think arbitrage is a great way to do STR with the high interest rates / inflated housing prices we are experiencing now.

This is generally why nonqm like dscr exists.

***depending on how far the house is from the coast, you mayalso be required to have a separate Wind or Hurricane deductible.

Purchasing a property for your child while they attend college can be a strategic investment and a great way to provide them with stable housing.

@Tim Holt, Yes INDEED house hacking is the best option for most 1st time buyers.  

There are actually THREE kinds of subject to transactions1- subject to existing mortgage without lender approval2- subject to existing mortgage WITH lender approval3- subject to existing mortgage as part of a seller financed wrap around mortgage.with #1 and #3 it’s in everyone’s interest to utilize a third party servicer, who collects and then distributes payments.