Investing in Real Estate
How do you begin investing in real estate if you don’t even own a home yet?
I’ve had many clients in this situation find success using this key strategy. The first step is to purchase a four-family home. You’ll purchase the property using an FHA mortgage (which requires just 3% down), and while you live in one unit, the three other units will help pay your mortgage and possibly provide additional income.
Next, purchase a three-family home. FHA will allow you to use their mortgage product for this purchase as well. You can then move into this home and rent the four-family property out completely, giving you six total units contributing to your mortgage.
Once you’re ready, you can take the next step and purchase and move into a two-family home. With half of this property and the two other properties all going toward your mortgage, it will mostly be paid off at this point.
The final step is to move into your very own single-family home, which can be paid for by the three properties you already own.
If you’d like to use this strategy to become a homeowner and a real estate investor or have any questions about it, don’t hesitate to reach out to me. I’d love to help you.