I have 2 homes that I have rented out, this covers the mortgage and more. Can I buy another home to live in?
Question : I have 2 homes that I have rented out, this covers the mortgage and more. Can I buy another home to live in?
I recently moved from Austin, TX to the Houston area as I have taken up a new job. This required me to lease a home and rent my home in the Austin area. This rent covers the mortgage, Insurance and home owners warranty and leave me some money (about $ 50 to spare). I also bought a foreclosure investment that I have rented out as well. Same thing rent covers the mortgage and insurance and maintenance warranty. Can I buy a third home? I have never been late on any payments mortgage, credit cards and car. I do not carry a balance on any credit cards. I can afford to pay 10-12% down payment.
I have pretty good credit. No bankruptcies etc. and a pretty decent score.
austin home insurance
Best answer:
Answer by Lauren F
It depends on how long this has been going on. If you have had steady rental income for three years, banks look upon this as a good thing. It also depends on how much income you have, and your ability (on paper) to carry three mortgages in the event one of the renters stops paying.
I would talk with your banker before going shopping.
you will have to inquire of lenders, but you sound like someone they are looking for, substantial, other investments(of course those investments may not be worth a dime at this point) and especially if you have a good job, and good credit report