Im sitting here just pondering different ideas and was wondering if buying a house and renting out the individual rooms (while living in one) is an ok way to make my first investment. Im currently just educating myself and planning for when i finish my degree. The way i see it I will be paying for a place for myself to stay anyways. I figured why not rent out the individual rooms and take all the rent money to save up for a down payment for my actual first deal.
Does this sound like an ok way to introduce myself to managing renters, buying property, and other aspects of being a landlord? Or is it a waste of time and should i be planning to just save up and start by investing in a full rental.
A side note is i will have a job and have enough income to make the payments and live off of anyways.
I think that is a great Idea. That is actually how I got into real estate investing.
Get yourself a nice 3 or 4 bedroom house for around a 100k.. maybe 150 ish.. Your monthly payment should be 700 - 900 a month ish... (give or take depending on lots of factors) Find some nice responsible roommates.. rent out each room for 300 - 400 ish...
Live for free or really cheap. Save your money and buy another!
Congrats! You will do very well in life!
Thanks Ryan! The simple idea i mentioned above sparked my interest in real estate and ever since i came across this website I cant stay away. Spent at least 3 hours a day every day plastered to my computer reading and planning! i cant stay away!
Great idea. Just make sure you can sell it or get a good Property Manager when you graduate (unless you have a younger sibling that wants to go to the same school. I had friends that did this in college and it worked out fine.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Join the Largest Real Estate Investing Community
Basic membership is free, forever.