The next question you need to answer is, does your real estate investment need to be here in Marin, or can it be else where? If you don't mind managing an out of the area property, or hiring a management company, (an expense of about 8% of your rental income), your options are numerous.
In Sonoma County there are over 50 Duplex's for sale under $500,000. In Marin County, there are only 2 duplexes available under $500,000. This means that you would be looking at a condo, or small house.
Most lenders require that you put 25% or more down if you are not going to occupy your purchase. This restricts the range that you can look into to about $200,000. This is possible in parts of Marin, if you are buying a condominium.
Another option, if you are a renter, is to buy a multi-unit building, and occupy one of the units yourself. If you "owner occupy" your purchase, you might be able to obtain an FHA loan, which would allow for a much smaller down payment 3.5%.
It costs about $750 per month for your loan/taxes and insurance on every $100,000 that you purchase and finance.
If you found a 3 unit building for $700,000, and put your $50,000 down, (7%), your monthly payment might be about $5,000. Renting the other 2 units out, for perhaps $1,500 each, would leave you needing only $2,000 to complete the payment. This might be comparable to the rent you're paying someone else now!
Now you get to build your own empire! When the time comes that you can afford more, you can move out, and buy something else, and keep the tri-plex. It could prove to be the best retirement account you will ever have!
Please call me at 415-328-2158 or vist me at http://www.cloneyrealestate.com
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