Start off Renting or Own?

Question

Good Morning Everyone,

Starting off my name is Jonathan (23) and I recently separated from the Marine Corps and now starting a career in Dallas, TX in the beginning of next year. I am a single man currently staying in AZ and for the past 6 months I have been looking at houses and apartments to see what could be best for me. My goal was to own a house and start getting into Real Estate by renting out a room to a friend of mine. I have had many people tell me that buying a house is a very bad idea and that I should stick with an apartment. This has caused me to continuously go back and forth with my decision. Today I come on here to ask for advice or guidance. Thank you all for taking the time to read my post! I hope you are all having an amazing day!

Respectfully,

Jonathan

Galen Ikonomov · Answer

One of the best way to get started in today's market is to House Hack. Grab yourself a book "Set for life" by Scott Trench and follow the steps.

Whoever is telling you buying a house is a bad idea right now, is the person that will live in fear and renting an apartment for the rest of their lives. Oh, and they have never owned real estate.

Rob Lee · Answer

I wish I could go back to 23 when I was in the Marine and tell myself to start buying houses now! (Orahh, btw) If you can get people to be roommates with, all the better! They can help you pay for your home instead of blowing it all on helping someone else pay for their house. Just my opinion brother. I'm kinda bias...

Larry Turowski · Answer

@Jonathan Baum the person you'd be renting from evidently thought differently. Go the search option here on BP and search for "house hacking."  This is exactly what you were thinking of doing and is one of the best ways to get started.

Ramon Jenkins · Answer

As the previous thread Consensus

house hacking

Lower down payment need

( possible even lower with military service),

check with your lender on what occur if you are reassigned during initial owner occupied time , rinse and repeat house hacking for maybe 5 different properties, if possible

Only suggestions

Five properties should help take care of down payment and pay for majority of your personal income need for your 6th houses

Best use of owner occupied ( suggestion)

1. Four plexes ( 3 paying tenants )

2. Duplexes ( 1 paying tenant )

3. Triplexes ( 2 pay tenants ), low housing inventory

4. Sfr

David Veeder · Answer

Don't rule out finding a duplex, triplex or quad if your budget will allow it.  The rental units will help you qualify for a loan.  That is how I started, I found a duplex and one side paid for 3/4 or better of PITI.

Hamp Lee III · Answer

In most cases, you'll pay more to rent than to own. If the numbers work for you and your situation, BUY.

Just like reaching out in this community, you lose nothing by speaking with other professionals (no hard credit checks until you're ready to take action).

Contact @Joel Allen to get started with your VA loan application.

Steven Foster Wilson · Answer

Hi Jonathan, welcome to the BiggerPockets community. House Hacking is one of the best ways to learn and grow for starters in real estate. Don't let anybody convince you in not going after your goal specially if they don't have any experience in that field. The best way to learn is to experience it firsthand or hear it from people who already did it. You could find more information on how to do this on this link here: https://www.biggerpockets.com/... I wish you well on your journey.

Nate Eazor · Answer

Hey Jonathan! Personally, I am waiting for Q1/Q2 2023 before diving back in the market. Would be happy to connect to over my reasons and to learn a bit more about your situation

Eliott Elias · Answer

I rent, it gives me freedom to break lease whenever I want, don't have to pay taxes, no maintenance, don't have to come out of pocket cash. I use my cash for investment property, not personal living

Steve Vaughan · Answer

No biggie to rent a while, just do it as cheaply as possible.

Improvise, adapt and overcome high housing expenses when you buy in the form of manufactured housing, househacking, etc when you're ready.  Welcome and SF!

Start off Renting or Own?

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