4 Greater New Haven Real Estate Investment Ideas

If you are thinking about INVESTING IN REAL ESTATE, now is an excellent time! Interest rates are likely lower than you will ever see again in your lifetime and real estate investment is a great way to HEDGE AGAINST THE RECESSION that is predicted for the US, after the Federal Reserve started printing money more freely, to cope with the Covid-19 economy.

Some investors will take the TRADITIONAL ROUTE of purchasing a single or multiple family home and renting their investment out to cover their mortgage, taxes and maintenance. There are a few local communities where the housing prices are still very low, and the areas have excellent school systems and so the rental market is hot and the rental income is high. These properties make excellent investments and are easier to manage because tenants tend to stay longer, 3 or more years.

Here are 4 REAL ESTATE INVESTMENTS in the Greater New Haven Area that you might not have considered:

1. A VACATION HOME: To simply enjoy!

2. LOCAL BEACH HOMES: You can benefit from summers on the Sound and a yearly academic rental income.

3. OFF CAMPUS HOUSING:  In the New Haven area, you cannot throw a stone without hitting a University - off campus housing is always sought after and are affordable investments!

4. FLIPS: Partner with one of my trusted contractors: you provide the financing, they provide the labor and you split the profits of the sale!

Scott Dana at Guaranteed Rate (Scott.Dana@grarate.com), says that FINANCING is a little different with your investment properties than for your primary residence. Some Things to Consider:

• A SINGLE FAMILY OR CONDO UNIT: Requires only 15% down, but the rate will be higher and the loan will need Private Mortgage Insurance (PMI) without a 20% down payment.

• A MULTIFAMILY WITH 2-4 UNITS: A minimum of 25% down payment is required

• INTEREST RATE: This will be half a percent to 1½ percent higher than for a primary residence loan, depending on your credit score

• RENTAL INCOME from the proposed purchase can be used to qualify you for the loan! Lenders can use 75% of the current market’s rent as additional income.

• Investment properties require 3-6 MONTHS OF RESERVES, depending on the type of property; once you own multiple investments, you will need six months of reserves for each property PLUS for your primary residence.

Go to my website and start your search now! https://chrislovejoy.cbintouch.com or contact me at 203.671.5684 and we can evaluate your options!