Purchased With 20% Down Are We Fools?
bought new house in developing subdivision in Meridian, Idaho near Boise. Purchased with 20% down in our individual retirement account trust which will make payments. Is this an investment property that will be a profitable Lease option or have we too much money into the home? Rents are between $850. and $950. there are 4 rent to own ads in the surrounding area. Any suggestions? Shall we cancel the deal? 
Can you give us more info? how much was the purchase price? what is the building. what type of loan did you get? what are the terms? need more info to run an analysis for you.
algloriay,
I LOOK AT IT THIS WAY....
If I take nothing out of my pocket to buy REIs my ROIs are 100%....
....from about day one.
The closer YOU are to 0-down, your ROI are greater!
....as always,
GoodInvesting, Rocky
well you missed paying pmi so i would say if nothing else thats a plus.
As long as you're relying on your own money to fund your investments, you're limiting how big and fast you can grow. What do you do once you've run out of money??? ...The answer....Learn how to buy creativly!
You'll be glad that you bought it in the long run....but wish you would have bought it differently.
You bought a house. If you bought below market or it's in an appreciating area, you are not a fool.
It may have cash flow with 20% down. It will be closer than if you bought w/10% down. Cash flow is important to many people.
However if you are looking for the greatest return on your investment (ROI), you may want to leverage it up some. Your return will roughly double if you half your $ invested, however you will probably have negative cashflow.