Plus we'll still benefit from appreciation, loan paydown, equity, etc.

Not a lot of distressed sellers underwater on loans.

Hey everyone, a new development in the area where I invest, is offering a 5.99% interest rate (conventional loan) and 2% of purchase price in closing costs.

As a loan officer, I recommend first ensuring you have a thorough assessment from a contractor who specializes in fire damage.

It started as an FHA loan but had to switch to conventional.

We used an excellent local bank that helped us to get everything we needed for the construction loan and we were able to fund the entire project without investors.

I highly recommend you study this, practice it, and apply it.https://www.biggerpockets.com/blog/rental-property-cash-flow...Property Details:Type: Single-family homePurchase Price: $289,900Down Payment: 20% ($57,980)Loan Amount: $231,920Interest Rate: 6.85%Loan Term: 30 yearsMonthly Mortgage Payment:Using a mortgage calculator, your principal and interest will cost $1,515 per monthRental Income:Average Rent for Single-Family Home: $2,171 per monthOperating Expenses:Property Taxes: $300 per monthInsurance: $100 per monthMaintenance and Repairs: Budgeting 5% of rental income ($109 per month)Vacancy Rate: Assuming 5% vacancy ($109 per month)Property Management Fees: If outsourced, typically 10% of rental income ($217 per month)Total Monthly Expenses:Operating Expenses: $835Mortgage Payment: $1,515Total Expenses: $2,350Net Monthly Cash Flow:Rental Income: $2,171Total Expenses: $2,350Net Cash Flow: -$179 per monthConclusion:In this scenario, the rental income of $2,171 per month does not fully cover the total monthly expenses of $2,350, resulting in a negative cash flow of $179.

Buy a 4-plex with an FHA loan.

Context:I’m seeking advice from those experienced in real estate investing and financial freedom strategies.I recently bought a multi-family property in Newport, RI, using my VA loan for $695K.

Be sure to explore all around the forums as well as many of the FREE tools that Bigger Pockets provides.I am on the lending side of things and am always happy to hop on a call to discuss loan options that are out there, even if not offered by my resources.