Posted by Ed on June 29, 2007 at 05:16:15:
If the property is a headache, can you just walk away?Just sort of consider it a lesson learned from an expensive rental for a while. Was this truly a lease-OPTION? Might make sense if you have the option to just walk away.
Also wherever you settle down when you finally retire, look for a real estate investors’ group. Whether or not you stay with this house. They might be able to help you with some options with it.
I suggest once you retire from the military, take some time to get your credit in shape before getting too heavy into REI. (And also spend some time with the real estate investors group.)
Long run your military retirement pay will be a big relief as an investor. I’m retired military - and that $ will provide some stability in what otherwise can be an unstable income stream from your real estate stuff. Good luck!
REAL ESTATE ROLLERCOSTER - Posted by Mimi
Posted by Mimi on June 21, 2007 at 24:07:50:
Six months ago, I was one with a medium credit score. Not too good–not extremely bad. High 500’s to low 600. Every where I turned, I was getting turned down for a mortgage.
Being new to the real estate world, I jumped in on a what I believe to be a deal. An investor gave me an opportunity to find a home of my choice and he would pay for it in return. I would rent this home from him and purchase the home from him in 1 to 2 years. This would be a win/win for both concern because I could restablish my credit and save towards my down payment and after my period of renting, I would pay the full the market value of the property (which would be estimated at $23,000 more than what the investor paid for the home. Not to mention that I had to pay $6500 (non-refunable) which will go towards my down payment.
The home I found and have now been living in for 6 months has been totally disappointing for me thusfar. The 5 units here are not part of an association but we are being accessed a monthly association fee (which is included in my rent payment). They rarely cut the grass and there was no snow removal during the winter months as stated in my contract. Recently, I come to find out from the local community, we cannot accessed the pool because we are not apart of their community or association because we are considered condos instead of townhomes.
The mortage payment (rental payment for me) is now causing me to become delinquent with my creditors and I am constantly faced with slow payments/delinquent payments to my creditors, further jeopardizing me from being able to obtain any home loan in the future to include subpriming. I am not receiving any credits for my rent payment towards the purchase price of this home.
I am about to retire from the military and being a single parent, this has all taken a toll on me. I recently finished a real estate course and after viewing this chat forum and the available information on real estate through CRE, I have learned alot and consequently have made some bad choices. Although, I can almost see a light at the end of the tunnel in starting my business venture of real estate investing, I am unsure as to what my next move should be. How can I get into real estate investing if I cannot find a way to or means to get started? I am trying to find a loan that will except my situation so that I can either rent this property or sell it as soon as we go to closing. Any suggestions, comments or recommendations would be great appreciated and valued.