Reply to How to swing a move to a move up house?

Forum Index » Money and Finances

Reply to "How to swing a move to a move up house?"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous]OP, if you really want to keep the house as an investment, make sure you're also ready and willing to become landlords. We did it without much forethought and struggled for a while. We decided to make a go of it, though, and read tons to learn best practices and to accept that the hassles are expected and normal. Read some books by Robert Shemin about landlording. Great philosophy.

So, what I would recommend is to take an equity line of credit out on your current property while it's a primary residence. See how much they'll give you. That's the amount you'll have for a down-payment.

Now you have to calculate what you can charge in rent; figure you need minimum of what you pay monthly (mortgage + finance charges on that equity line + utilities the tenant can't take over for some reason, etc.) and then increase it by at least 25% to account for repairs, improvements, and vacancies.

If you can manage all of that, then go for it! We started with one and ended up with five rental properties. It's a hassle for sure but long-term it's an amazing investment![/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics