Thread: What would you do in my situation? Recent Grad

Joe, I am in Missouri where we do not have the "bubble/bust" situation in real estate. However, our prices are starting to decline slightly. There is a FHA program available that you might want to consider. $7500 tax credit only available until April, I believe. Talk to a lender you know and trust about buying right now. I think they will advise you to wait; but you might find a foreclosure that would be a bargain. Find a Realtor that will stay on top of the market and will work FOR YOU. Good luck. Ricki

Why not a duplex-triplex-fourplex with owner financing? Live in one and rent the other to off-set the mortgage. Go knock on doors...and negociate down...
But go OF only. These days, you won't get any mortgage. I just got a buyer making 6 digits salary, putting 35% down with a dropped credit score to 720 and he got denied to buy a $115K investment property. So go only owner financing.
Also, I thin, but I might be wrong, that the $7500 credit is coming from your tax income. If you do less than $7500, you won't get that money. It is a credit that eventually you'll have to pay back....

I think multi units would be great, but here the lenders require a larger down payment. Don't know about your location. If you could get the seller to carry a second or get total OF, that would be great. Most lenders these days want to know, however, that you have some of your own money in the property. In the fairly recent past, I had many investors who bought multi family properties even they did not cash flow. They used the loss as a tax write off. With some tax law changes, that is no longer a benefit to a high income investor. Go for multi family if you can, they do pay off in the long run.

Joe,

As a real estate broker in Southern New Hampshire I can tell you that there are options that will help you to get into a home of your own. The New Hampshire housing assistance program and working out an offer to have the closing costs made part of the mortgage will help in getting you into a home. If you would like to hear more about this, I welcome you to contact me by clicking on my name or calling me at 603-305-4604. I monitor my email constantly and will be able to get back to you right away. The First Time Home Buyers Tax Credit program being offered by the government would also provide you with up to $7500. I can discuss these things with you if you are interested.

3bd, 2 bth type of house. Nice first time home buyer range? I am trying to get a feel for the pricing compared to where I am. Thanks.

Hi LV,

I just showed a bank owned 3BR-1BA Cape with a 1car garage on a 1/4 acre lot that is going for $179,900. The average bank owned price for a 3BR-2BA home in this area is about $225k.

Thank you Mr Harrington.

Any update on what decision you made? Im guessing you went the bank owned route as there really seems to be so many amazing deals in that realm. I am also hoping you went with a live in duplex or fourplex, for an ambitious young investor, its a smart move