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Looking for your first home? Have someone else help pay your mortgage!

Mortgage and Lending with ENG Lending

Are you considering buying your first home? A duplex is an investment well worth considering. If you are single or have a small family and half a house is large enough for you, the numbers really make sense. Fortunately, in the Cleveland marketplace, there are a lot of 2 family homes for sale under $100,000 that are move-in ready. 

If you believe that a large down payment or perfect credit is needed, guess again. FHA, which stands for Federal Housing Administration, has a loan available for multi-family homes that you will use as your primary residence. It only requires 3.5% down and generally a score of 640. If you are not sure what your score is, applying for a pre-qualification through a reputable bank or lender to find out would be recommended. FHA loans also allow you to have a non-occupying co-borrower, like your parents, who co-sign for you if you don't yet have enough income. If you don't want to deal with the added responsibility of being a landlord, you can hire a property management company to collect rent and find tenants. As well, you can also pay a handyman service to do any repairs. Just remember, these services will cut into your profit by 10-20%+.

 Here is an example of a home for sale in Lakewood Ohio:

Example Home*:

Lakewood Duplex Purchase price: $95,000

Down Payment: $3,325

Expected Mortgage Payment (including taxes and insurance): $944

Expected Net Rental Income**: $600

Net Mortgage payment: $344 a month!


Just imagine owning your very own home for less than a car payment per month! Another option for you is applying the $600 extra that you are making in net rent towards the balance. If done, you will have the house paid off in only 8.75 years! You can then move out and either buy another duplex or a single family home and rent out both sides so you have an extra $1,500* gross a month generated from this property alone!

Buying a home now, while prices and rates are near historic lows, just makes sense; but having someone else make most of your mortgage payment is brilliant! The next step is to call a reputable bank or lender to talk with a loan officer to learn more. A pre-qualification is generally free, and most professionals will help explain what steps to follow are, as well as how to pick a quality real estate professional once pre-qualified.

 Good luck with your home buying experience.


Ryan Salo (NMLS#147309) is a Loan Officer with ENG Lending, a division of Bank of England Arkansas.  He been in the industry for almost 10 years and has guided and taught hundreds of homeowners in finding the right fitting loan and maximizing their credit scores.  He lives in Lakewood with his wife and 4 children. He can be reached at 440-399-1066.



*rates and fees are subject to change at any time example rate is 4.25% with APR of 4.97% For informational purposes only.  The views and opinions expressed herein are those of Ryan Salo and are not endorsed by Bank of England.  Not an offer to lend or extend credit.  Credit subject to approval, including credit worthiness, insurability and ability to provide acceptable collateral. NMLS #418481 Member FDIC.  Equal Housing Lender

Greg Steffens
Mountain Country Realty - Lake Arrowhead, CA

Welcome to Active Rain and congrats on your first post.  Be sure to spend some time looking around at what and how others are blogging here - it is a great education and lots of fun.  Looks like you’re off to a great start…keep it up!

Sep 12, 2013 11:44 AM
Todd Clark - Retired
eXp Realty LLC - Tigard, OR
Principle Broker Oregon

Welcome to Activerain and I hope you are learning a lot and if you ever need any assistance, don't hesitate to check out my blog, email me, call me, I will be glad to help you in any way possible. Also, check out the main page of Activerain and look for the Activerain University tab, there are lots of educational webinars to help you build your business 

Sep 12, 2013 02:25 PM
Ken's Home Team LLC. | 360.609.0226 | Portland, OR & Vancouver, WA Real Estate Team
Ken's Home Team LLC. - Vancouver, WA

Welcome to Activerain from from all of us at Ken's Home Team. I think you will find this site to be a wealth of knowledge and referrals. This really is the best real estate blogging and real estate network on the internet. If you have any questions about Activerain, reach out to the wonderful Ambassadors here in the rain. (They are a wealth of knowledge and were picked by the Activerain staff for their willingness to help others.

Sep 12, 2013 02:28 PM
Katerina Gasset
The Gasset Group & Get It Done For Me Virtual Services - Provo, UT
Amplify Your Real Estate & Life Dreams!
Congratulions on your first blog! Welcome to active Rain. Hope to read more blogs from you!
Sep 12, 2013 03:31 PM