Invest in a rental property for long-term passive income?

If you pay down $100K in loan saving you $1K in monthly costs against rental income, or you invest that $100K in something that generates $1K in net income the result is similar.

I definitely think in my area, many of the good opportunities I could qualify for with my income would have pretty high rehab needs before they're rentable, so it's good to hear where you would start out instead.

Hopefully, you find it helpful and qualifies us to assist you with your goals:)---------------------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

These documents include your operating agreement/ corporate bylaws, articles of organization, certificate of standing, and the EIN letter. 

As for financing, make sure to explore options for using rental income to qualify, and be prepared for a 20% down payment.

The last thing you want it to trigger income taxes from accidentally cashing out.  

My primary goal for investing in real estate to grow my wealth and generate a bit extra income- not replace my day job.As the first investment, I want a safe investment with a goal recycle my down payment for a second property within 12 months and focus on learning & long-term cashflow/appreciation.

I am from Iowa so our goal would be to use it in the winter months (dec,jan,fab) and try and break even off the income from the remaining months. 

These loans are based on a property’s rental income rather than your personal income, making it easier to qualify as you expand your portfolio.Networking and Mentorship:You’re already off to a great start by reaching out here!