I went to an auction. Not all of the units sold. The auction was to hopefully put the building occupancy over 51 percent. That didn’t happen.
Do I have better bargaining power now?
I am a 20 year old active duty Marinebwith around $ 1500 take home pay after all bills and rent.
I am looking to but\y 2 homes and rehab them to rent them out. What is the best possible way for me to get both rehab homes under 1 mortgage. Is that even possible?
Also are there any additional benefits with me being active duty?
I heard if you have medical bills on your credit report somehow the mortgage company pays them off at the time you get your mortgage.
How does this actually work?
Have you done it?
It was something like they give you a certain amount for your mortgage and at that time they minus out what you owe on your medical bills. So if I have a $ 200,000.00 motgage -minus $ 10,000.00 in medical bills = $ 190,000.00 left over to buy a home.
Yes, its called an umbrella mortgage with one merged monthly payment.
Each home must have it’s own mortgage!
Benefit of being active duty is that you can use a VA loan, however, VA loans can only be used on Primary Principal Residences.
You wouldn’t be able to get a VA loan a. since you don’t plan on living in the house and b. because you want 2 mortgages. Also, you would need 2 separate mortgages, a mortgage is a lien on a single property. Think about possible getting a multi-unit property, then you can get a property with up to 4 units and rent them out under 1 mortgage. VA could even do this as long as you live in one of the units.
Under a commercial loan you are more likely to achieve what you are looking for in multiple homes with one mortgage.
US Marine, you might be able to buy a small rental complex on one mortgage. In today’s market $ 1500 would probably get you a foreclosed home in so so condition selling for around $ 178,000. But a complex in a 1/2 decent area migh not. Unfortunately, this would be considered an investment property and would most likely cost you considerable money down. It couldn’t be a traditional loan because your intentions are to make the property a rental. If you lie about your intentions, that is mortgage fraud.
As for your VA benefits, you could use them to purchase a home for yourself, but not likely to purchase investments.
Thank you for be active! Best of luck! If I can answer any other questions, just email me.
cannot have 2 homes same mortgage
In Ontario you can have more than one property under one mortgage, it is called a blanket mortgage. It isn’t used for rehabing houses, more for developers of subdivisions. I’m not sure it’s a good idea for you, if you run into troubles with one house the lender can claim both of them.
I don’t know who you’ve been talking to but they must be crazy.
huh?????????
I have heard this done on home improvement loans to help get the person qualified for the loan. The biggest draw back I see that it will take you longer to get any equity in the home — and possibly a larger mortgage payment (thereby causing you to pay more interest in the long run).
Someone misunderstood something. This does not occur.
Umm no, typically to close a loan collections have to be paid. occassionally a broker or loan officer will do this out of there own proceeds in order to make the loan close, but this definitely does come for free they can do this because they charge you, the borrower, a higher interest rate so they earn more money so they can pay off the collection. Either way you end up paying it off at closing whether directly or indirectly.
Speak with a mortgage professional before you pay or promise to pay any collections. If this turns out to be a lender requirement, your broker may be able to arrange payment at closing.
When you buy a home the mortgage company will check you out by getting a credit report and having you fill out an application setting forth your debts. They will take into consideration how much income you have coming in and how much you have going out, and determine if they think you can pay back the amount of money you want to borrow to buy. If you have enough income to cover you debts and they think your a good risk they will loan you the money to buy. If you have outstanding debt and they do not think you can pay , they will require you to pay items off in order to be able to pay off your loan or not give you the loan at all. On a first mortgage they will not pay off your medical debt. They may require you to pay in advance, or say you qualify for the loan owing that money.
I believe that what you are stating is a refinance.