Real estate question

[Anonymous]

If I purchase a property as an investment property, will it impact me when I want to purchase a primary residence a few months later???

[Anonymous]

It could. when applying for a mortgage they look at debt - income. If you paid cash for investment  it will show as good asset. If you financed it it is a debt.

Please wait for another to answer you that is just my opinion

[Anonymous]

Also - (and I'm sure you know this...) keep very careful rent records on your inv prop. Generally, 75% of rent collected is put against your monthly obligation, so keeping it rented and keeping track of the payments will really help.

[Anonymous]

Tex is pretty much correct.  What they do is take the amount that you are renting it for and give you credit for 75% of that amount.  That gives you a net rental income (this can be a positive or negative #).  That net amount is added or deducted from the household income.

Here is an example:

Mortgage payment: $2000

Rental Income:  $2000 (.75)= $1600

Net rental income:  $-400

So in theory if your gross monthly income was $10,000 you would only be able to use $9,600 for your debt to income ratio.

The other important thing to remember is that tax and insurance, if not included in the mortgage payment will also count against your net rental income.  Hope this helps, let me know if you need more info.