Credit Worries!
Hello all.
My situation: I am currently attending school fulltime and am not currently employed. I do however receive monthly natural gas royalties. Last year they brought in around 40k. Of that money I have saved around 13k (half in stocks and IRA). I am concerned that not having income from a job will not enable me to get a loan for my first deal. I would like to purchase my first home soon. If I was to form an LLC (Real Estate Business) and channel my royalties through it would that make a difference to lenders? I will not be working till I finish my degree next year and don't want to wait that long to buy. Tired of wasting my money on rent. I have been reading as much as I can re REI. I was considering trying to purchase a HUD with an FHA backed loan for my first purchase. Most of the HUD's in NJ are in less than desirable locations but I don't want a huge mortgage, just a place to live. Perhaps a distressed property I can fix up while living there and sell or rent when I finish school and move on. I dont have lot's of time to for marketing so would RE agents be able to help me find HUD's or distressed properties? I assume I should see a mortgage broker and see if I can get prequalified first? I know I asked many questions but just trying to get feedback and see if my line of reasoning is logical or laughable! Thanks in advance. If you need more info please ask.
PS also considering a foreclosure for 1st home but would it be a longer process than buying a HUD?
As far as the credit goes unless you have some past credit issues and you can prove your income you should not have a problem. If you have good credit and can prove your income you should check on student loans provided by educationone.com you can qualify for 30k that comes to you and not the school thus you can use it for whatever you find necessary.