Sec 8 In Philly Not Paying Rent Increases?
Have any of you heard that section 8 is not paying any rent increases in philly indefinately? This is the crap that my local office advised me when I tried to submit a rent increase to them. I have to contact the supervisor over there but I was wondering what others have experienced.
Anyone??
If you are in it for the long term then I would go with what appreciates more. If you have a more immediate need of a larger cash flow then I would go with what cash flows more. The ideal thing would be a great mix of both.
I would buy the duplex, live in it for a year then buy the house.
What is your existing investment? SFH? Multi? My first three homes were multi and then I bought several SFH to diversify. The thing I like about my multi is that rarely is the entire building vacant so the occupied units help carry my mortgage when one is vacant.
In most cities ... but not all ... for a SFH you can pass on more utilities to the tenant. Make sure and check out what the tenants pay vs. you.
Also ... In regards to your statement about "plan to live there for a year to fulfill my owner occupy requirements". I am not necessarily advocating this BUT I got an owner occupied loan and decided at the last minute to not move in. I may some time in the future but I immediately rented it. My bank has never asked me boo about it and my CPA said "all well. you changed your mind".
d-random,
Eons ago, my first four rental properties all started out as my primary residence. Yes, the owner occupied rates were a little cheaper and the loan qualification was a little easier. Once, I even moved three times in one year. I agree that the constant moves does get a bit tiring.
Today, in this very competitive mortgage market, you can find several lenders that charge the same interest rate to investors and owner-occupants. On the other hand, the investor loan may have a higher down payment requirement and may have an extra loan point added to the financing fees.
Newkid
Thanks for the advice on the finacing, good to know that the investment loans might not be much more. Something to ask my mortgage broker about!