Oct
18
What Do You Recommend If You House Is Free And Clear….costs Now?
Bywould be around 400,000.00. Could you buy a foreclosure and use part of the money from your house to buy it??? then rent it out??? because you are single and would need someone to rent the other house….real estate people ONLY PLEASE!!! thanks!!By the way..i am in San Diego County, CA….
You say your single… Home is free and clear, do you have a good size cash reserve? Are you technically and mechanically inclined? Any property will require up keep, do you have a good source for repair and up keep on the properties, one who won’t overcharge for work?
Rental property is a good investment, but you have to maintain the property, fix problems, etc. The chances of a forecluser being well maintained is very low, there maybe several hidden expenses to consider before purchasing property.
I don’t want to scare you, just be cautious in leveraging an asset like your home on an investment. If your credit is good, you have a good cash reserve, finance the new property using the new property as collateral (make sure that rents will cover Mortgage, Taxes, Up Keep) and work it that way, then as you pay off properties, you can purchase additional, compounding rents, etc. but never put your primary residence in jeapordy.
ASUQB1
Listen to what
ASUQB1
said.
It’s all covered nicely. Listen to what he said.
You can use the equity in your house to buy something else. Why not consider a duplex instead of a forclosure? Duplex means you can count part of that projected rent as part of the qualification to get the loan to buy the property. That means less of your own money up front.