Ah, where to begin... well - DR isn't for everyone, and although I love him and his advice, I feel like they are not necessarily laws that I HAVE to live by. Try explaining this on their forum (no really, don't).
So - I was just expressing my personal goals and was hoping for someone to listen and maybe send a kind "good luck" my way. NO.
So I'm here now.
Here is my situation:
My husband and I bring in $160K gross and pay mortgage/tax/insurance of $1600 - about the same as a 3 bedroom apartment in this area.
We don't have any debt except for one last car - which will be paid off by this summer. We have about $4500 leftover a month.
We need to move closer to my husbands work/kids school (right after we bought our house, he got his dream job about 40 minutes away and the kids go to school over there now). The rentals are about the same as our mortgage over there - so would like to buy a house out that way. I do NOT WANT TO SELL my current home for many reasons (ex: it's a great home, good energy efficiency, great interest rate 2.54%, great area -will appreciate in value), and I've just always wanted an investment property. I've read a few books so I'm not going into this blind. So - like I said - the current house costs me $1600 a month, while other houses in the area like mine (actually not as nice) are renting for $2200 - that's a $600 profit I can put towards repairs, etc.
Problem - I don't have money saved because I've been paying off the cars, but I'm applying for another mortgage anyway. I didn't think it would be possible, but a couple of people told me I should at least try - and so try I did. I should know whether or not I am pre-approved by tomorrow afternoon. Yes, it is very important that we relocate for many reasons (my son is having issues in school and my husband cannot take the drive with two little boys in the car and his PTSD).
I'm not sure which of these remarks you consider to be bullying in response to your post:
"We want to move closer to hubby's work but I refuse to sell our house because of many reasons (great house, will be worth a lot more in the future, always wanted an investment property, etc.). So, I just put in my application for another mortgage - with no money down - and without selling this one. We will see what happens! I'll know something by tomorrow afternoon. "
Was it this one?
"IMO, you are on a slippery slope to being over your head. You aren't out of BS2, you aren't willing to sell your cars for less expensive ones, and you want to take on another mortgage with no down payment? Can you save up a sinking fund for your current home in case anything breaks down or gets damaged by the renters? Will you have a sinking fund in case your renters don't pay 1 month? 3 months? Or if you can't get a renter? Why not rent for 1 year to make sure this is an area you want to be in? What is the rush to buy right now? I understand WHY you want to move and agree with it for your child's sake. But to buy a home with no down payment, given the baby step you are in, and given your unhappiness with your job, it seems very dangerous.
I really really hope everything works out for you. Because you are taking a big gamble."
Or this one?
"Before DR my hubby and I also bought a house without having sold our previous one. We had a buyer, but their credit wasn't quite good enough for the bank to give them the loan. The bank made them do six months of "credit repair." They rented our house in the meantime, so we thought we were ok to go ahead and buy. Well, the closing kept getting pushed further and further out, and we were losing money every month. Finally the house was sold...a full year after it was supposed to.
Looking back, I hate thinking about what we could've done with the money we lost every month. Your plan may seem foolproof to you, but what if something happens and you go through unemployment? Have an accident? Then you're on hook for two mortgages. It's just such a big risk. We were lucky that our situation didn't turn out worse than it did."
Or this one?
"Uh, you're going to rent out a house with no emergency fund. I don't understand what needs explaining. If you have to move for whatever reason what will you do then? Get a third no money down mortgage? What happens when your renters stiff you on rent or the hot water heater needs to be replaced and it'll cost 4k? You have no savings. Also, remember you probably have to pay taxes on the rent you receive and that mortgage is no longer deductible. "
And those are just from the first page.
It seems you have decided what you desire from strangers on the Internet is validation, not constructive criticism, and that is fine.
But playing the victim card because you didn't like the replies of people who can see the iceberg ahead and are warning you lest you sink your luxury liner? A bit much.
I encourage you to rethink your plan. There are some fine people here on both forums who are concerned for you because they can see the risks inherent in this plan. You may think you can steer in time to avoid the iceberg---but plenty of other folks have thought the same thing, and their families have suffered financially for it.
I hope you will not be one of them.
Take care,
Source:
https://www.mytotalmoneymakeover.com/modules/fusetalk3/forum/messageview.cfm?catid=9&threadid=483734&STARTPAGE=1&FTVAR_FORUMVIEWTMP=Linear