Hey gang, thanks for the info. I have been a follower since 2011 and love the articles, book, and podcast. Thanks for the work you put into this Jim.
So before medical school, my wife and I purchased a home and lived in it for 7 years, until we moved away for residency. At the time the market was terrible so we decided to rent it. It has done extremely well. So well in fact that we left it alone and there is less than 40% of the mortgage left. It also brings in over $600 a month. Now we also have our primary home which is in a different city. I have a very good friend who owns a property management company and he deals with all the headaches of the rental.
I am trying to buy another rental but I am having a hard time finding a lender. I looked into Sofi and when asked about the purpose of the house I said investment and was turned down. Other lenders want a much higher down payment for an investment property. I can say that the house will serve as a second home and turn around and rent it but don't think that is ethical. At the same time, I don't want to sink a lot of cash upfront for a down payment on this third house. I would much rather have the renter pay the mortgage and me keep the cash so I can pay down what's left of my student loans.
What are your suggestions? Thank you in advance.
So before medical school, my wife and I purchased a home and lived in it for 7 years, until we moved away for residency. At the time the market was terrible so we decided to rent it. It has done extremely well. So well in fact that we left it alone and there is less than 40% of the mortgage left. It also brings in over $600 a month. Now we also have our primary home which is in a different city. I have a very good friend who owns a property management company and he deals with all the headaches of the rental.
I am trying to buy another rental but I am having a hard time finding a lender. I looked into Sofi and when asked about the purpose of the house I said investment and was turned down. Other lenders want a much higher down payment for an investment property. I can say that the house will serve as a second home and turn around and rent it but don't think that is ethical. At the same time, I don't want to sink a lot of cash upfront for a down payment on this third house. I would much rather have the renter pay the mortgage and me keep the cash so I can pay down what's left of my student loans.
What are your suggestions? Thank you in advance.
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