Purchasing first house before 21 and creating MRR

[ZZZ]

Hi everyone, a little about me first: My name is Zane & turned 19 in October 2019. I have 770 credit score, I think the main challenge for me in purchasing a home will be proving my income, but even that I don't think will be too difficult. (Edit, I need to show 2 years self-employed history, will be a challenge... need to wait a year before I'm able to do anything because of this.)
Putting this in the RANT prefix because I'm really in the planning stages right now

My idea/ goal I'm likely to execute is this:
Purchase a ~$350,000 5bd 4ba house here in Las Vegas for 3% down. (~$11,000)
Rent out 4 of the 5 rooms, similar houses including all utilities is about $700 - $800 a month.
The house is pretty nice, 3000 sqft & with utilities included & some basic ikea furniture & washer/dryer I don't think I'd have any problem getting $800 a month for a room.
The monthly payment would only be around $2000 per month max, meaning if I can keep 3 of the 5 bedrooms rented I would be making $400 a month. Rent the 4th room out and it's $1200 a month

I've seen the other threads about buying 3-4 unit housing and I think it's pretty much the same with a house. I checked and didn't really see any appealing units for sale, they are look really ghetto in the trashy parts of Vegas for similar $ amounts. So a 5bd house would be better in my opinion but I'm open to any suggestions.

I know it's been done before many times and I think I know most the risks & liabilities of having bad roommates, not having everything in writing, etc etc. I'm pretty handy, able to fix or repair most things, change out locks myself, etc.. What else am I missing Goal is to purchase sometime in the next year, maybe Jan 2021 at the latest. Is the market going to collapse again, should I wait, not wait, ....

Thanks for reading my thoughts (rant) and planning, I'd like to hear from anyone who has done similar or has advice for me!

 

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[Envision]

Welcome,

I think there are a couple things to look for. The first being that you should run your worst case scenario analysis. Can you cover the payments if you can’t fill the rooms or people leave.

you’re going to need 2 years of income to get an fha loan so work on that. I think when I started I got approved for 200k only making 30k/yr. But the main thing that helped me so much was the lender was able to add the existing income from the other unit (duplex) to ensure I could get approved.

Good luck!

 

[ZZZ]

Made the thread public sooner than I meant by pressing enter, whoops

you’re going to need 2 years of income to get an fha loan so work on that. I think when I started I got approved for 200k only making 30k/yr.

I didn't know I needed to show 2 years of income. I do have 2018, 2019, and this will be 2020 of course but not sure if I've made enough to get approved for a large loan. Maybe my parents or brother can help somehow, but I'd like to do this entirely independent of them if possible. Or I can put it off a year I guess... not ideal but if that's what has to be done then what more can I do! Thank you Envision

I would be able to cover the payments assuming I had 0 roommates or they don't pay

edit: I wasn't thinking about a FHA loan which is 3.5% down. Conventional mortgage, 3% down, and I'm fairly confident my credit score is high enough to get a low interest rate. I'll still need to show 2 years of self-employment history however