I have been considering getting into real estate investments for some time now as I live in Houston and the population has exploded in recent years.
I will have a bit of extra cash later this year which I would like put to good use (10-20k roughly). Most likely more, but starting off small would work best for getting my feet wet.
I am leaning towards rental properties which would be basically move in ready. Basically move in ready meaning maybe it needs $5000 or less for any cosmetic fixes, new appliance(s), or the like.
Flipping doesn't seem like the route for me as I have no construction experience, therefore labor costs would offset most of the gains...or am I wrong?
Can anyone offer some insight on how much effort/time it takes to oversee a rental property vs. overseeing the flip of a house? I would think dealing with a rental would be less time consuming unless you have a bad tenant or a problem with the property itself. On the other hand, how much
money/time/effort does it take to deal with any legal matters associated with having lease contract drawn up, screening tenants, etc? I've read about people having a PM for all that, but haven't looked into the costs. Time is an important factor as I work anywhere from 45-60 hours a week.
I have heard/read somewhere that ideally someone investing in property would want to see returns no more than 2 years later. Any thoughts on this would be appreciated, 2 years seems rather short to me.
Specifically anyone in the Houston area who may be interested in mentoring, but all input will be greatly appreciated!