The Beginner's Guide to Long-Term Real Estate Investment: Multifamily Properties Made Easy

Discover the easiest way to kickstart your long-term real estate investment journey with this video! We cover the benefits of investing in two- and three-unit properties, detailing the advantages of FHA financing, using rental income to qualify and low down payment options.

Connect with me: https://findmywayhome.com/mortgage-expert/meet-chad-rankin/
_______________________________________________________

Ever wondered about the easiest way to dive into long-term real estate investment? Well, look no further. One question I’m asked time and again is about the first property I bought. It was a two-unit property that I held onto for about 12 years, and I can confidently say that investing in a two-unit property is one of the simplest ways to begin your real estate journey. Here's why.

FHA financing for a two-unit property doesn't necessitate reserves. That's a big win for those just starting out. Moreover, two-unit properties are exempt from the FHA self-sufficiency test. This test requires that 75% of all market rents in the building cover the mortgage payment, something that has been harder to achieve with the higher interest rates of 2022 and 2023. But here's the cherry on top - the rental income from the unit you're not occupying can help you qualify for the mortgage, and only a 3.5% down payment is needed, which can even be a gift!

Now, let's not ignore the three-unit property. Historically a popular choice, it also requires only a 3.5% down payment, three months of reserves, and allows for gift money to be used for the down payment. The main difference, of course, lies in the reserves, which can be non-liquid funds such as a 401K loan.

Read more: https://findmywayhome.com/expert-articles/the-beginners-guide-to-long-term-real-estate-investment-multifamily-properties-made-easy/
_______________________________________________________

I am licensed to operate in Massachusetts, Maine, New Hampshire, Rhode Island, Connecticut, Virginia, South Carolina, Georgia, Pennsylvania, Tennessee & Florida and can guide you on everything that you need to know about the housing market and the home loan process to make your home buying experience easy and exciting for you!

#ChadRankin #RealEstate #Mortgage