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Investing in real estate - questions for a new acquisition

I have some questions about an investment, which I want to make. I can buy a studio with 60k (including the acquisition price+furniture +all the others costs). I can do that using 5k from my pocket and the rest I can borrow; to borrow I have more options: 1. 0 downpaiment (and I bring as guarantee an other property I have) and for the rest I can take a mortgage and here I have also 2 options: a. interest fixed for 3 years - 7.9 and after that it’s variable (an variable parameter “x”+3.4) for 27 years b. variabile - “x”+2.4 for 30 years; “x” changes every quarter and now it is 5.9 2. 25% downpaiment and for the rest a mortgage with the same options I mentioned above: a. interest fixed for 3 years - 7.9 and after that it’s variable (an variable parameter “x”+3.4) for 27 years b. variabile - “x”+2.4 for 30 years; “x” changes every quarter and now it is 5.9

Now I have the 5k, but if I have to put 25% down, then I have to wait to save the money. If I put 0 downpaiment, I will have negative cash flow, and the rent will not cover the mortgage (but I have other properties so, I can pay the difference easily fom there).

The rent per month would be around 300 euro. I know that the property does not respect 1% rule but that is the market in which I am. What do you advice? Thanks

submitted by /u/clAudiusssssdgfgv
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source https://www.reddit.com/r/RealEstate/comments/1bwccp3/investing_in_real_estate_questions_for_a_new/
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