I am currently able to save $1,020 - 1,245/mo and am in the Austin, TX area. At this rate it will take me YEARS to save for a down-payment for even a small, in need of tender loving care house 20-30 min away from the city in nearby neighborhoods. That is way to slow and with how fast properties are appreciating in value (7% annually in central Austin with absolutely no signs of slowing down, though luxury market is showing signs of softening) it makes no sense to wait that long.
The homes I am looking to buy will be 4+ bedrooms, possibly a multi-family (MF) duplex or 3plex if a decent one is available (none are via MLS anyways). Intent is to "house hack" it by renting out available spare bedrooms or other doors of a multi-family home.
I have the option of a VA loan with 0 down but cash flow is a problem. With 10% or less down-payment, the SFR or MF is negative cashflow. Pricing is not attractive for a cash-strapped buyer in this area. Still better than paying 100% of the mortgage personally but it sets my RE investment strategy back several years.
I am currently renting at ~1100/mo not including utilities, which is a tremendous drain. I want to get in the game and start doing/learning. What are your recommendations on approaching this? Go for a 3.5% FHA, stick with the VA 0 down, wait to save the full 20%, or something else entirely? Any suggestions appreciated, thank you!
Submitted August 05, 2018 at 10:59PM by Arcology_Designs https://ift.tt/2AKmWz1
