tdwilliams232, Home Buyer in 55418

Can I buy another home when I just bought a home 10 months ago? Is it possible?

Asked by tdwilliams232, 55418 Thu Dec 20, 2012

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13
Sure it's possible. If you are looking at investment proerty you can buy as many as you can afford, as often as you can afford them. If it's a home you plan to live in there can be additional steps to verify if the new property will be owner occupied. Also, many lenders limit the number of mortgages they will do for one borrower, so you can buy lots of properties, but after the first few you will need to get your loans from different lenders.
0 votes Thank Flag Link Tue Apr 16, 2013
Yes you can TD! This is America! It just depends on your financial health. Investors are buying
homes now.
Let me know if I can help you.
Thanks and Merry Christmas!
Colin
0 votes Thank Flag Link Tue Dec 25, 2012
Hey TD,
Yes you can. I work with investors who buy anywhere from a couple of properties per year to more than a dozen. It comes down to the numbers.
0 votes Thank Flag Link Sat Dec 22, 2012
What you are considering is something that I did. My first home was a side-by-side double bungalow. We lived on one side and rented out the other side. Shortly afterward, we bought our current single-family home and rented out both sides of the original property, which we have now done for about 34 years.

Qualifying for the purchase of your second property isn't as hard as some would believe. With a little of the correct help and guidance, it's fairly easy. For example, let's say that your current home is valued at $200K and you'd like to purchase a home valued at $300K. You don't have to qualify for $500K in mortgages, based solely on your income. The majority of the amount of rental-income that you'll get from renting your home gets added to your other income, and it's THAT number that your income-to-debt ratios are based on.

Additionally, you may not have to wait to do something like this. Some mortgages require you to be an owner-occupant and your current one may be that way, however, it might no be and even if it is, it's possible to legally work around that stipulation.

I've been a landlord since 1969 and have learned a number of things along the way that you might find helpful. How a lease is written is usually the difference between smiles and nightmares. I can probably make some suggestions that you'll find helpful.

If I can help in some way, click on my ugly photo for contact info.
0 votes Thank Flag Link Thu Dec 20, 2012
It all come down to what you and your credit can handle.
0 votes Thank Flag Link Thu Dec 20, 2012
You need another 2 months on your current mortgage before doing that, it defines “owner occupied” as a 12 month period. Next, if you qualify for the next mortgage including the entire payment on the existing mortgage in your debt-to-income ratios it will be easier. The type of mortgage you use on the next one will determine how the income from this one will be treated.

Every loan type has a set of guidelines that specify how to treat income, be sure you understand in great depth before committing to leasing or buying. Much too important of a conversation to treat lightly (how most buyers do it). Gather all of the support documents you will need and make an appointment with a local lender, lay out a plan BEFORE doing anything. Good luck,

Jim Simms
NMLS # 6395
JSimms@cmcloans.com
Financing Kentucky One Home at a Time
Web Reference: http://jamessimms.com/
0 votes Thank Flag Link Thu Dec 20, 2012
You certainly can purchase another home it just depends on whether or not you qualify for another mortgage or have cash to purchase. Let me know if I can be of any other assistance.

Take care and happy holidays!
0 votes Thank Flag Link Thu Dec 20, 2012
Thanks for all the answers. We are thinking of taking our home and turning it into a rental property if we try and buy another home. So many things to consider. Thanks again! Happy Holidays!
0 votes Thank Flag Link Thu Dec 20, 2012
Shop around for a mortgage broker, they have access to many banks, private lenders and many different programs. Choose one that can answer all your questions in the first meeting, after you provide all your financial status.

Best of Luck,

Maria Cipollone

Century 21 Tenace

http://www.Flahomespecialist.com
0 votes Thank Flag Link Thu Dec 20, 2012
It will come down to your debt to income ratio. If you want I can make a recommendation for a person that can look at those numbers for you. He is someone I have used for many of my investor clients, let me know.

Thanks


Kirk Duckwall
The Duckwall Team of Realtors
Edina Realty
Cell 651-303-0019
http://www.DuckwallTeam.com
Your Referrals Are Greatly Appreciated
Ask About Our Free Home Warranty For Buyers and Sellers!
0 votes Thank Flag Link Thu Dec 20, 2012
Absolutely, there are lots of other questions however. If you have cash there is no limit as to how many properties you can purchase. If you are going to obtain financing it will depend on if you qualify, most second homes or investment properties require a significantly higher down payment (20% or more). If you have the money to put down and your income would allow another property talk to the loan officer who helped you with the first home. Good luck.
0 votes Thank Flag Link Thu Dec 20, 2012
Potentially. From a traditional financing standpoint it will come down to DTI issues most likely, and you can't go FHA twice typically (I believe multifamily there is a possibility still). The best way to figure out is just ask your loan officer and see what they say!

If traditional financing does not work, and you have 10% down, I have another program that will probably work since it does not use traditional banks. Once you figure out the first part you can always contact me for more info.

~Chris
0 votes Thank Flag Link Thu Dec 20, 2012
Hi tdwilliams232,

You can buy several houses - as long as you have all cash or can qualify for all loans.

Shanna Rogers
SR Realty
http://www.RealtyBySR.com
0 votes Thank Flag Link Thu Dec 20, 2012
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