New Here – Looking for Strategy Guidance from the Vets

[Sam Heller]

Hi all – first-time poster, long-time lurker. Over the past few months, I’ve been soaking up podcasts, forums, and books about real estate. After a tough experience in my last W2 job, I’m seriously exploring real estate as a way to build long-term income and more flexibility for my family.

Quick background:

• I’m a project manager by trade (15 years) and comfortable managing reno timelines, teams, budgets, etc.

• Married with two kids.

• Currently unemployed, but our household income usually runs around $200K/year.

• After my parents passed, we sold their home and used the proceeds to buy a house up north. A few years later, we sold that property for a good profit. Then we bought a more expensive (smaller) home closer to family in Southern California, where housing costs and interest rates are much higher. Yes..I realize this was a mistake. 

• In hindsight, locking up that capital in an overpriced small primary residence wasn’t the most strategic investment move — but that’s where things stand. Now I’m focused on putting the liquidity I do have to work as wisely as possible.

• Not much house hacking potential — one-car garage used for storage.

• Around $300K total in savings/investments, but only about $80K liquid without major tax penalties.

• Considering a HELOC, though being unemployed complicates that. (This is temporary.)

Goals:

• Start investing in STR, LTR, BRRRR, small multifamily, or possibly flips.

• Open to out-of-area markets given how crazy expensive the local market is.

• Long-term goal is to build $4K+/month (and eventually more) in passive income so I can step back from the W2 grind and spend more time with my kids.

I've started attending a local REI group and figured it's time to post here and ask: Given my situation, what strategy would you recommend starting with? Any feedback or tough love is welcome.

Thanks in advance — excited to be here and learn.

[Melissa Justice]

@Sam Heller,

Welcome to the community, and thanks for sharing such a transparent and well-thought-out post. First off - you're not alone. Many investors started their journey right after a career pivot or tough life transition, and it’s clear you've already built a strong foundation with your research and project management experience.

With your skill set, family goals, and ~$80K in accessible liquidity, here’s how I’d think about it:

1. Start Simple and Scalable
You don't need to go all-in on BRRRR or flipping to begin. In fact, those can be capital- and time-intensive, especially while between W2 roles. I'd look at:

Turnkey long-term rentals (LTRs) in affordable, landlord-friendly markets
Small multifamily (duplex/quad) in the Midwest or Southeast
“Light rehab” rental with a local team if you’re confident managing from a distance

These approaches let you leverage your project management background without putting all your time or capital at risk up front.

2. Prioritize Cash Flow + Appreciation
You're aiming for $4K/month in passive income. Hitting that will take a few properties over time, so start with one or two markets that offer:
Strong rent-to-price ratios
Low property taxes
Population/job growth
Good PM options (since you’re out of state)

Markets to explore: Birmingham, Cleveland, Indianapolis, parts of Central FL or the Carolinas.

3. HELOC Caution
A HELOC can be a powerful tool if you’re employed or have verifiable income. But in your current situation, lenders may limit access or charge higher rates. It might be smarter to:

Use part of the $80K to buy a cash-flowing rental with 20-25% down

Let it stabilize, then refi or explore a HELOC once income stabilizes

4. Use Your PM Skills to Your Advantage
You already know how to manage timelines, teams, and budgets - that's gold in REI. Whether you're coordinating a property manager, a light rehab, or scaling to multiple units, this gives you a huge edge over many new investors.

You’re in a better position than you might think. Many new investors wish they had $80K to start with, plus the experience managing complex projects. The key now is taking action on that first deal, even if it's small, and building momentum from there.

If you’d like to see examples of turnkey or rehab-ready deals in affordable markets, feel free to reach out. There are some great opportunities out there for folks exactly like you.

Wishing you clarity and confidence as you start this next chapter,

Melissa