Second House
So I bought a house last year and pretty much all settled in now. It is my primary residence and do not plan on moving but really want to invest. How do people buy a second home? Obviously I cant afford to pay 2 mortgages (refer to TC) especially in socal but how do people "buy another and rent one out".? I have down payment money buy how do people buy it and rent it with no gap in between that I would have to cover? TC 150 #personalfinance #investments #supplychain #nontech
I rented out the first house n got a second when I could afford the second down payment. Make sure you can cover for gap during vacancy
Not a good time to park your money in real estate at the moment
I don't think you can afford two houses at your TC
You can use 75% of the expected rent to help with DTI. This is if you structure it as a rental property with 15-20% down. I’ve done this serval times.
🙄
it’s about cash flow. you can use rent to pay mortgage but you need to budget for repairs and downtime between tenants. basically, the less free cash you have, the riskier it is