Dennis DaPrile

Hi Renee, first, I think it's really important to understand WHY investors try to purchase homes off the market. It's typically because they can purchase the house at a lower price with less competition. Yes, they offer convenience however in order to make their numbers work they typically need to get it at the lowest price possible. When you put it on the market you are opening up to multiple buyers and advertising to the widest possible audience. Ask a local agent for a seller's net sheet (showing how much you would potentially walk away with after you sell.) Don't forget to factor in holding costs like taxes and mortgage and any repairs you might need to make. You can compare that to a cash offer. If there's not much of a difference it may be worth it to take the convenience of the cash and a quick closing.

Hi Chase, If you were moving in 2-3 years I think having a niche property would be a bigger concern. Personally, I think if it works for your lifestyle then go for it. To me this falls in a similar category of: putting improvements into a house that are for you to enjoy over a long period and that may not necessarily lead to a higher sales price. The advantage you have, in your purchase is that you probably have less buyers going to see it so you may be able to negotiate a better price.

Hi Dana, Congrats on having great credit! That's half the battle! Talk to a few lenders now, even if you don't think you're ready yet, because there are so many different mortgage programs, they can help guide you to prepare what you need in order to purchase your next home. Get someone on your team and check in with them every few months to make sure you are on track.

Hi Paige, I think it's great you're looking into investing. It's a great way to build wealth. You may have to do it a little bit differently with no w2 income. You may need to look at loans more geared towards investors. Since you have money in an account, it sounds like you will have enough in reserves in case something goes wrong. Just find an agent who is experienced with helping people buy and analyze multi-family properties. You want to make sure you cash flow or at least can live for free or low cost. Lenders will factor a portion of the rental income into their calculations. Good luck!

Hi Travis, If you are talking about renting a larger place as opposed to buying...will it actually be cheaper and allow you to save up all that money quickly? If not, I'd buy and take the tax benefits from home ownership and start building equity in the new place now. Building an emergency fund PLUS saving 20% sounds tough. Maybe consider purchasing with less than 20% down, saving up for emergencies and then refinancing in a few years.