You gotta be the only realistic real estate motivator on social media! Many will say “no money down” But you really know we really have regular jobs with regular pay. You’re the best man!! Love the content!
Most of the time “no money down” they are talking about using other people’s money or seller financing. Very practical ways to get a property without coming out of pocket for a down payment
@@livegoodfilmgood9377yea l’m about to get into the route of no money down road. Got to pay to go through a mentorship program to be shown such route. Did you go through that boss?
I know your focus area is Seattle and surrounding areas, I am considering rentals in both King County, and Orange County, California. Aren't you at all worried about those two states being tenant vs landlord friendly. Are you ever concerned you will be stuck with a tenant who cant or wont pay, and the city doesn't have your interests in mind?
Hi Thach, When I bought my last house, I currently own 4 sfh I was told that I had to live in the house for one year otherwise it was mortgage fraud? They actually made me sign a paper that said I could be fined, prosecuted and incarcerated for violating the law. I buy all my properties owner occupied to get the best terms then live in them for a year.
So all the rental property will have to be under your name in order to “pretend” it will be your primary? What if you prefer to have the property on an LLC?
In today’s market mortgage payment is higher than rent. When we rent we still have difference. How do we close that gap? Do we have to pay from our pocket?
Great content. Thank you for all of the knowledge you are passing on to everybody. What do you recommend in terms of property management and how many properties can you manage on your own without getting overwhelmed?
the only thing that's hard i having all properties paid off. we have several but only one is paid off but i do make about 400$ per unit that's rented after i pay off the mortgages. i wish i had the discipline to pay off the duplexes but i dont
There are some caveats to low down payment. These types of loans can be quite difficult to close on because lenders are taking on higher risk. Therefore lenders are more stringent with their underwriting requirements, and the subject property has to be in better shape. Finding a more "turnkey" deal that is below market and/or fitting the 1% rule in high appreciating areas like Boston are difficult and rare to come by. Then there is the mortgage insurance that will increase your monthly payment until you have 20% or more in equity. On paper this is a lower entry point to getting into real estate, but there are also many factors going against you.
I agree it's not perfect but its not realistic for most people to put 20% down nowadays, and it's better to get in with 5% then not start real estate investing today.
@@JayJayLee I think the best way to go about it is to do a 5% down house-hack a multifamily, where you learn to do the light rehab and property management. Maybe then the price point doesn't have to hit the 1% mark. More flexibility and a great way to start.
Late comment and not sure if you will see this but if I say that I'm buying a property for residence and I change my mind at closing and pay 5%, 1. doesn't that impact my interest rate and 2. Do I have to let someone know that I'm not going to be staying there? who do I let know that I changed my mind and when would I let them know? I'm not understanding how to explain to someone that I was going to live there but now I'm not?
Everytime when I want to buy they always asks for 20% down why and I own primary home and if I want to live in the same house and buy another one one to four family as primary residence not dscr loan but the conventional loan or fha loan can be possible to get one .
he mentioned it’s not illegal to not live in the property if intention changes but doesn’t that put your loan at risk for not respecting that guidelines of it being your primary home?
@@aleckrosemond7881 that wording is meant as a “sometimes extenuating circumstances happen.” It doesn’t mean “hypothetically change your mind so you can achieve a lower rate on your new rental.” There are a ton of ways to make $$ in RE without having to do anything questionable/illegal.
@@adc5897 It's possible to buy a 1-4 unit when you already own a home. It is not possible to have two primary residences. As the other commenter mentioned above, if life happens and intention changes then so be it. That does not mean intentionally commit mortgage fraud. If you're buying a 1-4 unit conventional or FHA as a primary residence you must occupy one unit. You can also use 75% of the rental income to help you qualify for both the new mortgage and the mortgage on the home you're leaving behind you. If she 100% wants to stay where she currently lives but still wants more property then DSCR is the answer.
Life is short, your never garunteed tomorrow. What thach is preaching works for him and many others, but to some, working hard, saving, being frugal, taking risks, for decades, to hopefully be wealthy in your 50's, is not for everyone. Being a landlord has risks of dangerous tenants, evictions, etc. The best years of many peoples lives are in their 20's and 30's. To use that time being landlords, working extra shifts and jobs, there is a opportunity cost. If i become 20 again and offered a deal where i have 20 paid off houses, millionaire, but i automatically become 55 years old, i will not take it. Its still a much better deal that actually working hard for 35 years, taking risks, getting to that 20 houses. Working hard, using effort is tough.
I will be forever grateful to you, you changed my whole life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Reynold Felicia
Yes you can. I have done it. On or off market is irrelevant when purchasing a property however conforming loans (conventional, FHA, VA etc) have criteria for the condition of the house.
i don't understand why she only needs 2 properties to get $10,000/mo. Most of that money goes towards a mortgage and expenses, so she's not really making $10,000.
@@nickdoubek6448 you can always pay a little more towards your principal every month or year and it’ll shave a good amount of years off of that loan. You also gain equity and can raise rent over time while the mortgage payment roughly stays the same. Just some ideas
@@nickdoubek6448if she sticks to her repayments, yes 30 years, the point is once you reach the amount of revenue you want, you then collectively put all your different income streams to pay down all your loans, which would take 5-10 years, less if you’ve got a good job, then you’re debt free with x amount of profit, in her case $10k/month
@nickdoubek6448 the point is to retire with money and live the rest of your days stress free then being able to pass those properties to your children and grandchildren so that they can have financial freedom even quicker than you did.
You can’t claim a rental property as your primary residence if you don’t live there. Advertising “changing your mind” is deceptive and a great way to commit mortgage fraud
so when he means your intention change and said it’s not illegal i’m assuming there’s a loophole with the “changing intention” at closing part? but seems like it’s just flat out mortgage fraud and can put my loan at risk?
@@aleckrosemond7881 It’s certainly possible to “change your mind” it just means you better ‘change your property, loan info, rate, costs APR, and you’ll probably lose the house since you’ll have to go through the entire loan process again’. Smartest idea is to have a set plan for the property and commit to a primary or rental prop. strategy
![Stromae, Pomme - “Ma Meilleure Ennemie” (from Arcane Season 2) [Official Visualizer]](http://i.ytimg.com/vi/1F3OGIFnW1k/mqdefault.jpg)
You gotta be the only realistic real estate motivator on social media!
Many will say “no money down”
But you really know we really have regular jobs with regular pay.
You’re the best man!! Love the content!
Most of the time “no money down” they are talking about using other people’s money or seller financing. Very practical ways to get a property without coming out of pocket for a down payment
@@livegoodfilmgood9377yea l’m about to get into the route of no money down road. Got to pay to go through a mentorship program to be shown such route. Did you go through that boss?
Hey Thach, got my first property in December 2023. Looking to get another one by the end of the year! Appreciate all of the advice 🙏🏽
I like how you explain how to buy the first house . Makes it seem achievable but need to have the mindset for this. Thanks Thach
Hello Thach, thank you for this information. I have a question: do you have a formula to determine whether an area is an A,B,C or D area?
I know your focus area is Seattle and surrounding areas, I am considering rentals in both King County, and Orange County, California. Aren't you at all worried about those two states being tenant vs landlord friendly. Are you ever concerned you will be stuck with a tenant who cant or wont pay, and the city doesn't have your interests in mind?
Hi Thach, When I bought my last house, I currently own 4 sfh I was told that I had to live in the house for one year otherwise it was mortgage fraud? They actually made me sign a paper that said I could be fined, prosecuted and incarcerated for violating the law. I buy all my properties owner occupied to get the best terms then live in them for a year.
So all the rental property will have to be under your name in order to “pretend” it will be your primary? What if you prefer to have the property on an LLC?
In today’s market mortgage payment is higher than rent. When we rent we still have difference. How do we close that gap? Do we have to pay from our pocket?
Great content. Thank you for all of the knowledge you are passing on to everybody. What do you recommend in terms of property management and how many properties can you manage on your own without getting overwhelmed?
the only thing that's hard i having all properties paid off. we have several but only one is paid off but i do make about 400$ per unit that's rented after i pay off the mortgages. i wish i had the discipline to pay off the duplexes but i dont
Getting my popcorn
There are some caveats to low down payment. These types of loans can be quite difficult to close on because lenders are taking on higher risk. Therefore lenders are more stringent with their underwriting requirements, and the subject property has to be in better shape. Finding a more "turnkey" deal that is below market and/or fitting the 1% rule in high appreciating areas like Boston are difficult and rare to come by. Then there is the mortgage insurance that will increase your monthly payment until you have 20% or more in equity. On paper this is a lower entry point to getting into real estate, but there are also many factors going against you.
I agree it's not perfect but its not realistic for most people to put 20% down nowadays, and it's better to get in with 5% then not start real estate investing today.
@@JayJayLee I think the best way to go about it is to do a 5% down house-hack a multifamily, where you learn to do the light rehab and property management. Maybe then the price point doesn't have to hit the 1% mark. More flexibility and a great way to start.
Late comment and not sure if you will see this but if I say that I'm buying a property for residence and I change my mind at closing and pay 5%, 1. doesn't that impact my interest rate and 2. Do I have to let someone know that I'm not going to be staying there? who do I let know that I changed my mind and when would I let them know? I'm not understanding how to explain to someone that I was going to live there but now I'm not?
can't you put your loan at risk if you don't live in the primary residence intending to live in?
How do you change your intentions? Do you notify the bank?
Thanks for the video. Thach, Do you have connections in the DMV? I need to have connections, wholesalers, financial institutions, etc
If you put less than 20% then you need to conisder PMI as well which is again some hundreds bucks depending on the percentage paid in down payment
Definitely landed a great deal 👏🏾
I thought lenders can check up as to whether you living in the property within a year after purchase and cancel the loan if you’re not!
Just say if i bought a house to live in and decided to just rent it out to people do i need to tell anyone or do i just do it.
where do u find a 5% mortgage?
Can you do a video on us expat buying a rental?
Can you do this with an FHA loan?
How much house would you say i Can afford with $11,000 or should i wait longer?
Do you have any LLCs ? Or Trust funds ?
when you refi do you like to shorten the length of loan a little say from 30 to 25 yr?
great information? Love your mentor videos!🤑
I really appreciate your videos. I'm soaking up all your wisdom. I want to be just like you, Thach.
What would happen if I were to put down 20%?
Anh Thach, you are so inspiring!!! Thanks for all your advice!
Hi Thach,
I'm interested i n doing a DSCR 4 Plex in Detroit, MI. What tips do u hv to better accomplish this mission? I'm a newbie!
Where can I find the map?
great info would like to start investing asap
Thach! Love your Wisdom and Inspiration!!!!
Great explanation 👍! You are goated
Everytime when I want to buy they always asks for 20% down why and I own primary home and if I want to live in the same house and buy another one one to four family as primary residence not dscr loan but the conventional loan or fha loan can be possible to get one .
It’s definitely possible. Where are you located?
he mentioned it’s not illegal to not live in the property if intention changes but doesn’t that put your loan at risk for not respecting that guidelines of it being your primary home?
@@aleckrosemond7881 that wording is meant as a “sometimes extenuating circumstances happen.” It doesn’t mean “hypothetically change your mind so you can achieve a lower rate on your new rental.” There are a ton of ways to make $$ in RE without having to do anything questionable/illegal.
@@casasdenickhow so?
@@adc5897 It's possible to buy a 1-4 unit when you already own a home. It is not possible to have two primary residences. As the other commenter mentioned above, if life happens and intention changes then so be it. That does not mean intentionally commit mortgage fraud. If you're buying a 1-4 unit conventional or FHA as a primary residence you must occupy one unit. You can also use 75% of the rental income to help you qualify for both the new mortgage and the mortgage on the home you're leaving behind you. If she 100% wants to stay where she currently lives but still wants more property then DSCR is the answer.
Thank you!!!
Thank you , Thach! 🤙🏼
Life is short, your never garunteed tomorrow. What thach is preaching works for him and many others, but to some, working hard, saving, being frugal, taking risks, for decades, to hopefully be wealthy in your 50's, is not for everyone. Being a landlord has risks of dangerous tenants, evictions, etc. The best years of many peoples lives are in their 20's and 30's. To use that time being landlords, working extra shifts and jobs, there is a opportunity cost. If i become 20 again and offered a deal where i have 20 paid off houses, millionaire, but i automatically become 55 years old, i will not take it. Its still a much better deal that actually working hard for 35 years, taking risks, getting to that 20 houses. Working hard, using effort is tough.
In this Triplex Deal, I am wondering if they had separate Kitchens for each unit???
Yes obviously. Bathrooms too.
I have a ?.. each year does the renter pay for the property tax or do we do ?
You do
Young man here, my goal is not to work all my life and retire early.
If you never work, what do you want to retire from?😂😂
I will be forever grateful to you, you changed my whole life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Reynold Felicia
Amazing mentality 👍
How did she get a 5% interest rate right now?
Very smart 👌
You have my condolences.
So Jenny saved again around 30k for her second property?
How did she get an interest of 5.25? Is there a government program or something? Did she buy someone else mortgage out?
Yup, he said she got it as a wholesale deal
I was not aware that you could purchase an off market property for your primary residence with a traditional loan.
Yes you can. I have done it. On or off market is irrelevant when purchasing a property however conforming loans (conventional, FHA, VA etc) have criteria for the condition of the house.
not fha at 3.5% down
i don't understand why she only needs 2 properties to get $10,000/mo. Most of that money goes towards a mortgage and expenses, so she's not really making $10,000.
$10k is after paying off the mortgage. He didn’t include expenses but it would be a couple thousand max every year or 2
@@DonovanDrako ohhh so after the 25-30 year loan term or however long that may be. he makes it sound better than it is but I get the point, thanks
@@nickdoubek6448 you can always pay a little more towards your principal every month or year and it’ll shave a good amount of years off of that loan. You also gain equity and can raise rent over time while the mortgage payment roughly stays the same. Just some ideas
@@nickdoubek6448if she sticks to her repayments, yes 30 years, the point is once you reach the amount of revenue you want, you then collectively put all your different income streams to pay down all your loans, which would take 5-10 years, less if you’ve got a good job, then you’re debt free with x amount of profit, in her case $10k/month
@nickdoubek6448 the point is to retire with money and live the rest of your days stress free then being able to pass those properties to your children and grandchildren so that they can have financial freedom even quicker than you did.
So if you already have a house that you are paying on but intend to move into the new property you are going to buy Can you still use the 5% down?
I want to have money so that I have no boss mentally abusing me everyday.
Thaaach 😃
I will like to meet you
Hi Thach,
Please be my mentor! 🙏
🎉
I was in the middle of watching it and then you switched it to private lol
If you need a LENDER in California I’m the guy 📲 I’m a direct lender & RE investor myself. Let’s connect and grow! 🤝🏽
You can’t claim a rental property as your primary residence if you don’t live there. Advertising “changing your mind” is deceptive and a great way to commit mortgage fraud
This is 100% true.... But also happens frequently without prosecution
@@obie1coby yea its not enforced
so when he means your intention change and said it’s not illegal i’m assuming there’s a loophole with the “changing intention” at closing part? but seems like it’s just flat out mortgage fraud and can put my loan at risk?
@@aleckrosemond7881 It’s certainly possible to “change your mind” it just means you better ‘change your property, loan info, rate, costs APR, and you’ll probably lose the house since you’ll have to go through the entire loan process again’. Smartest idea is to have a set plan for the property and commit to a primary or rental prop. strategy
Making 4700 and paying 2800 , how could she is only making $1000? It should be $1900
Expenses
wat if economy tanks or pandemic ?
Could lose it all if you lose your job or tenants lose theirs and can’t replace them