Hi everyone, long time lurker, but I've finally decided to post.
I have several questions regarding rental properties. I hear that banks will ask if you are looking to live in a place or use it as a rental property, and accordingly, will require you to put down 20% at a minimum if it will be a rental property. Can anyone back this up? Or does it tend to vary by bank?
I also wanted some help in evaluating a potential deal. I will refrain from giving out my location, but I'll give a high level view of the deal.
Price 170,000
Currently renting for 1,600/month
HOA Fees: 312/month
Prop Taxes: 1,600/year (will remain so for the next 5 years until abatement is finished, then will jump to 3,600/year)
Mortgage payment (not sure if I will be able to put down <20%)
Thanks