one part of a banks decision to give you a loan is to look at your DTI, or debt to income ratio. basically, total monthly debt payments divided by your monthly income, gives you a percentage of how much of your income goes to other debts. if you make $4,000 per month, and your only debt is a $400 car payment, that's 10% DTI ratio. very good to the bank. that means you have 90% of your income to use to buy a house. under this scenario, if you wanted to take on a $1000 mortgage payment the bank is likely to give it to you because you still have available income to use on the mortgage. if you only make $1000 per month, that $400 car payment is now 40% of your debt and the bank will likely not give you a loan. now with your scenario, if the new car payment (which looks like your to the bank because you are on the hook) puts your DTI too high for the bank to offer you a loan, you will be denied. if the new loan is only a small part of your income, it may not effect you. for what its worth, I purchased my first primary with a $430 monthly car loan and the mortgage broker didn't bat an eye.

Over the past few months I have been listening to bigger pockets podcast which has opened my eyes to the fantastic investment opportunities real estate has to offer.In the next few months I will begin my real estate investment journey, and am trying to determine the best strategy for new investors in Chicago.

I just include it and keep an eye on the usage.

I looked it up and realized that the property owner also owns a second SFH nearby that I have had my eye on for months.

Take charge of your property by taking charge of the tenant.Tape a notice to the front door at eye level stating clearly and firmly that you are the new landlord and if he wants to remain in the home he will contact you immediately or eviction proceedings will begin at the end of the month.Tell them their current lease with the previous owner will expire at the end of the month and a new lease must be completed and signed before   the first of the month.

Also, if you want any help looking at a property--I've done that for people who are at a distance who want an objective set of "investors eyes" on the property.

Thanks for taking the time to share this, very inspirational and shows what a good eye & grit can do for you. 

I have been keeping my eyes out for duplex/triplexes/quads under 180k since that is what im currently approved up to on loan since June 2016.

We also do periodic inspections of our rental units and keep an eye out for conditions which are conducive for developing mold and mildew.

I wonder if I can come up with some irresistible eye-candy there!