You do NOT need 20% down for investment properties #investmentproperty #rentalproperty #airbnb
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Summary
AI-generatedAccording to Jorge Contreras, you don't need 20% down to buy investment properties. You can use owner-occupied loans with lower down payments (3.5% with FHA loans or 5% with conventional loans) if you live in the property and rent out other bedrooms or split a portion of the home. It's illegal to immediately rent out the entire property after obtaining owner-occupied financing.
Key insights
Putting smaller down payments on multiple properties can be more beneficial than putting a large down payment on a single property.
Mistakes to avoid
Don't use owner-occupied financing and immediately rent out the entire property; this is illegal.
Curated by Learn STR by GoStudioM · Summary & key insights generated by AI · Reviewed by editorial