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witch would be better and smarted to do fisrt between flipping a investment property or buying a personal house first?

by jwilson15357299 from West Plains, Missouri. Jun 2nd 2016 Reply


Lorne Harvey (lorneharvey)
#80 ranked lender in Washington - 427 contributions

I think that would be up to you, and a personal choice

Jun 3rd 2016
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Would buying a personal home first delay me any in getting another loan for a flip?...

Jun 3rd 2016
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Lorne Harvey (lorneharvey)
#80 ranked lender in Washington - 427 contributions

As long as you qualify for both loans, you will be fine. There would be no official waiting or delay period. You should be good to go!If you want to call just to chat, feel free to reach out to me. I am not licensed in Missouri, but happy to speak with you.

Jun 3rd 2016
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William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,414 contributions

More info needed, but in general, certain lenders will not let you buy an investment property if you do not own a primary residence.. That being said, it's probably wiser to first purchase a primary residence.. live there for a year or more, and then move out of that one and purchase another primary residence, and then rent out the exiting property. This is a strategy used and taught by the best.. by implementing this type of strategy, you can purchase as an owner/occupied buyer and put less down payment, since investment properties require 20% down or more.. (I've been investing in RE for 28 years), I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347

Jun 3rd 2016
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Scott Fix (ScottFix)
#1351 ranked lender in California - 184 contributions

Suggestion, start with your first (modest) home purchase and proceed from there. Live in the first home for 2 years while putting away a small nest egg for your next home purchase. The first home then becomes your investment property, and your next home can become your primary residence. Reason, well there are two. Primary residence financing is much more favorable. Lower down payments, etc. Additionally, if you occupy the first home for 2 years over of a five year stretch, it can be sold avoiding capital gains during that 60 month period. Also, if your given area is appreciating at a nice rate, your investment goes up in value while your tenant is decreasing your liability with the lender by paying the mortgage. You can sell it to avoid the tax, or keep it in your portfolio and move on. With that said, if flipping is what you want to do, find an EXPERIENCED agent who truly knows the ropes before getting into the game. You need to pair with an agent who is knowledgeable about finding properties which can be purchased, renovated and re-sold with ACCEPTABLE margins. Remember, its not just about the purchase price and renovations, but ALL of the costs when buying, renovating and selling properties. This statement should not be considered accounting or legal advice and you should always consult a qualified, certified public accountant or tax attorney for guidance with any financial event which may be deemed taxable regarding your real estate endeavors.

Jun 4th 2016
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