Vacation Rental
I am thinking about buying a home for vacation rental. How would the rental income be treated when I want to buy my next property? Would this negatively affect my credit?
I am thinking about buying a home for vacation rental. How would the rental income be treated when I want to buy my next property? Would this negatively affect my credit?
Maybe I dont understand the question, But are you really asking how more income can be a negative thing?
Maybe I am missing something, but with more income you would be able to handle more of a payment or more payments from a lenders point of view.
Kyle
Sorry. As soon as I buy the house, the total amount of mortgage I am carrying goes up. In a regular rental, I can show the lender the leases and income, but how do I show vacation rental? I think I need a history. I was concerned that lenders might see vacation rental as a source of less stable income.
Oh well, I bought a 4bedroom, 3bathroom house at Orlando, FL and closed yesterday. I will learn by doing it. Initially, I am working with a property management company. He says he has booking for 26 days in July.
I am curious to find out how you found out about the Orlando property and also which management company you use. I am thinking of buying one too before the summer ends.