We have an option to purchase a Duplex that has a triplex possibility but it's at the top of our budget.
Rental income for both units easily pays the mortgage but we planned to live in one unit and use the rest of our cash to remodel the detached garage into a smaller unit for us then rent the duplex so we're eventually mortgage free. Could take up to 1 year to complete as building permits are slow in our area due to regulations.
I am concerned using all our cash near retirement age is a risk though many are doing it now since no other investments are paying less than most rental income. If any major repairs happen, that will also be an added stress.
Last concern is real estate might be at its highest this year then go down which might mean rental rates go down since incomes are not going up for most.
Any suggestions or thoughts welcome! Thank you ~
Read more: Good Investment Retirement plan? Duplex purchase?
