Welcome to passive real estate investing, the show where busy people like you learn how to build substantial passive income while creating wealth for the long term.

And now here's your host, Marco Santorelli's.

Hello, my friends and welcome to another episode of Ask Marco,

where I answer your investing related questions.

Today's question comes from Simon and Simon says, yeah I did say that, Simon says, he says,

hi Marco, love the podcast and very glad I found it.

My wife and I have done a lot of due diligence and are ready to buy an investment property but I

wanted to run a couple of questions by you. Here's our scenario. He says we have made

it a goal to have 20 rental units within 10 years. That is

fantastic great goal achievable and I like that you're specific and you've

actually written it down. Second he says we would like to buy our first unit by end of this year.

We have about $25,000 for a down payment.

My credit score is $625. My wife is 720 plus.

My questions are, and he's got three questions here, should we look into buying

as a homeowner to take advantage of the lower down payment? He says 3%, and live in the house for a year and convert it into a rental property.

His second question is we can then buy a second property using conventional financing and

then he says should we purchase property under her name since

she has a higher credit score.

Any thoughts?

Thanks again and appreciate what you do, Simon. So Simon, great question. So to your first question, you know, it sounds like you have enough of a down payment to get your first rental property. It doesn't require you to get an FHA loan with the lower down payment, which is actually

three and a half percent, not three.

And if you chose to go that route, you would basically be required to live in that house for a period of time.

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