If you own a home already but want to rent and purchase a second home how can you determine the income to afford the two mortgages

Asked by crownheights74, Orlando, FL Tue Jan 15, 2013

i own a home but looking for a bigger newer home i have had it for 3 years its my primary residence but want to rent it and purcahse another home in the 150k-160k price range how do you determine income

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8
Mahdi Jaffer, Agent, Orlando, FL
Tue Jan 15, 2013
Income's important. But i think the most important factors are Debt/Income ratio and credit history. Someone else mentioned property management on the first home to add to your income. That's definitely a viable option to increase your income. For the second home you'd likely have to put down a significant down payment, but to figure out the mortgage payments, your best bet would be to talk to a lender.

Feel free to give me a call to chat.

I work with a couple of different lenders, and personally property manage as well as help clients buy and sell real estate. So potentially may be able to help with the peripherals. As for your primary question, I'll be happy to put you in touch with our in-house mortgage specialist.

I'd love to get to know more about you and help in any way I can.

Please feel free to contact me.

Best,
Mahdi Jaffer
516.554.5775 - Call/Text
516.750.9097 - Fax
Re/Max Showcase
8934 Conroy Windermere Rd
Orlando, FL 32835
0 votes
Abraham Bidh…, Agent, Orlando, FL
Tue Jan 15, 2013
Hi There:

A lot of times you can even get a FHA loan if you are upgrading from your existing home to a bigger home even if you have a FHA loan on your current home.

The best way of going about it is to talk to a lender would be able to check out your income ratio and see if you would qualify for a second home and if so how much is your qualification amount.

If you would like we have a fantastic lender that we work with and I would be more than happy to email his info to you.

By the way, if you would also like to conduct your own search from a single source that has the entire inventory of homes for sale in Central Florida, you are more than welcome to use our website: http://abidhendi.orlandopropertiesonline.com. This website basically contains the same data base that all the agents use to search for homes. There, you can also set-up "Property Alerts" which automatically sends you an email the minute any property that matches your criteria comes on the market.

Have a fantastic day & I look forward to hearing from you.


Abraham Bidhendi - Top Producer Realtor® with over 25 years of experience
Awarded as Exit's TOP Buyer side Transactions for the State of Florida
We have had 165 successful transactions during the past year alone.
Exit Realty Access, LLC
Direct: (407) 744-2533
Fax: (407) 444-9925
Email: REOsofflorida@msn.com Or abidhendi@ORLANDOPROPERTIESONLINE.COM
Website: http://reosofflorida.mfr.mlxchange.com/ Or http://abidhendi.orlandopropertiesonline.com
Kissimmee Office: 391 N. Main St., Kissimmee, FL 34741
Altamonte Springs Office: 660 Palm Springs Dr., Suite D, Altamonte Springs, FL 32701
0 votes
Julie Carber…, , Saint Cloud, FL
Tue Jan 15, 2013
I am a full time property manager so can rent your property and then work with the mortgage company to see if you qualify, you may be able to use the income from the rental as part of your income.

Give me a call 407-709-9969 or e-mail me at JulieRents@aol.com and I'll be happy to help.
0 votes
Vincent Paige…, Agent, Orlando, FL
Tue Jan 15, 2013
Crownheights,

This is determined by DTI, or Debit -to-income ratio. Second home will be 20% down, minimum. The best thing to do is speak with a mortgage broker, and let them sort out the details!

Highest and best regards,

Vincent Warren Paige, Jr.
REALTOR® | RE/MAX Showcase
Certified Broker Price Opinion Registered Agent (BPOR)
8934 Conroy Windermere Road | Orlando, FL 32835
Direct: 407.256.8190 | Fax: 407.264.8073
E-mail: vpaige1@yahoo.com
0 votes
Maggie DeGen…, Agent, Altamonte Springs, FL
Tue Jan 15, 2013
A visit to your favorite lender should answer this question for you. Great time to purchase property. If you need more help contact me via Trulia.

Good luck!

Best,

Maggie DeGennaro
La Rosa Realty, LLC
407-929-1384
0 votes
Marion Thack…, Agent, Winter Park, FL
Tue Jan 15, 2013
I will gladly to set you up with a local lender to check into this for you.

Call me at 321-662-7750
0 votes
one, , 76155
Tue Jan 15, 2013
To own two homes, your income has to support both proposed mortgages along with your other current liabilities. Most lenders require rental income to be filed on your tax returns for two years along with a current lease agreement before it is considered "rental income". Since you are purchasing another primary residence, the same debt-to-income ratios should apply as when you purchased the home you anticipate renting out. If your ratios are high and you have not refinanced since you purchased your home, compare your current rate with today's rates and see if you can save some money that way. Feel free to contact me through my Trulia profile if I can be of anymore help.
0 votes
Tim Moore, Agent, Kitty Hawk, NC
Tue Jan 15, 2013
You would go to a lender who can do that for you. There is more to the equation than income. Debts, history, and credit play into the answer and no one here could tell you.
0 votes
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