Typically to count the rental income from the property out of state, you would have to have a 2 year rental history. However, if you have atleast 25% equity in that home, you could count the rental income with less than 2 years rental history. You could also simply qualify for both homes if your income is high enough
You could also buy the home here as a second home (qualifying on your income in Philadelphia) by putting 20% down here.
As you can see, there are a lot of things to consider. Send me a quick e-mail and I will get you in contact with a few lenders that always do a great job for my out-of-state relocation buyers.
Talk to soon!
Allen Tate Realtors
Congratulations on your forward thinking in this market. I hope that you can make money! Talk to a lender- Tim Hege at WK Starkey Mortgage can help you. In general, you have options: 1) lease purchase a house here and get a year lease signed in Philly 2) just straight lease a house here, and lease your house there, then purchase a house when the lender says that you have meet loan requirements for time 3) find someone else to go on the title and loan at either location and refinance the house in Philadelphia. Do you have a relative who is entrepreneurial?
I relocated to Charlotte back in 2001 from Downingtown, PA, when I worked with Vanguard! You will love getting away from those Nor'easters, no doubt.
To answer your question, it really does depend on your individual circumstances. As others have already told you, some lenders require a rental history or at the very least, a signed rental agreement before they will consider your house in Philadelphia as a rental. Here are a couple of thoughts:
1) Do you have a lender in mind? Allen Tate Company has a very large market share in the Charlotte residential real estate market. We have our own mortgage company, and I can put you in touch with one of our mortgage professionals for a no-obligation consultation. He'll be able to give you some ideas on how to finance the purchase and what you might need to do in order to get approved to hold two mortgages.
2) Do you have a property management company in Philadelphia that will be managing the property for you? If not, let me know where the property is at, and I can put you in touch with a Realtor that can manage the property for you. I have rented out my personal property in Charlotte at one point when Vanguard transferred me back to Malvern, PA. You really need a local property manager that can take care of any issues with the property or the tenant. I could refer you to someone if you do not currently have one in mind.
3) Would you like me to send you a no obligation relocation kit? This kit would give you some information on the various amenities and their locations in Charlotte, and will help you begin to figure out where you might want to live. Whether you are able to buy or need to rent down here in Charlotte first, I would love to help you. I can assist you whether you need to find a home to purchase or a place to rent. Just call or e-mail me.
Welcome to Charlotte!
All the Best,
Allen Tate Company
This suggestion was made in earlier comments. That is misrepresenting the intended occupancy of the home and is considered mortgage fraud. Steer clear of this advice.
1. Afford both payments on your existing income. Depending on how large the bonus is that you receive with your existing mortgage I can already tell it is going to be a littlle tight and this will be a big challenge.
2. Do you have 30% equity in the home you are keeping? If yes then this is an option also. Line up the person that will lease the house, get a lease agreement in place and the first and last months rent in the bank. It is likely that the bank will also do an appraisal on the house to make sure that you have 30% equity. If you do not have 30% equity then you are going to have difficulty getting approved.
3. Relocate to charlotte and rent for 12 months while your old home is being rented out. After you have 12 months of rental history and satisfactory mortgage payments then you no longer need to meet the equity requirement.
I would be happy to help you through these steps as well as refer you to a reputable realtor. Give me a call or shoot me an email.
It is in your best interest to speak to a mortgage lender. I will be more than happy to give you a few lenders to call. Call or email me if I can be of assistance.
Showcase Realty LLC