Should I invest in a multifamily?

Question

I am 22 years old and I make $31,000 a year and have about $12,000 in debt...I've been reading a lot of blogs and articles and I think I want to start investing but I'm not sure if its right for me in my financial situation. Any help and advice would be much appreciated. :)

Gregory Guillet · Answer

Hey Mercedez,

You should venture into which ever stream you feel comfortable. I would learn as much as I can prior to venturing into any investment opportunity. You can start with wholesaling minimal investment.

Good luck!

Brent Coombs · Answer

Account Closed, in the meantime, start paying off your debt EVERY payday; then, keep on saving!

Welcome to BP. All the best...

Patrick Donovan · Answer

I definitely agree with the 'house hacking' route. Which is buy a diplex , triplex or quad and live in one unit. I am 21 years old, make about 30,000 a year and have about 10,000 in debt so I'm really close to your situation! I would also recommend you read the book on investing in real estate with no money down by @brandon turner.  That helped me find a way to do it! Good luck and can't wait to read your success story!

Jean Bolger · Answer

I agree with the above suggestions  about an owner occupied multifamily! It's a great way to get started investing and lower your living expenses at the same time. You may need to get rid of that debt before you can qualify for a loan. Check out the Mr. Money Mustache blog for an eye-opening and different perspective on personal finance... good for anyone, but especially powerful for young people

Davon Lowery · Answer

@Mercedez Matos

Welcome to REI. Glad to hear that you are doing well. It is great that you wanna invest and I think you are on the right path.

If it were me, I would FHA, VA, etc..; whatever applicable program is relevant and purchase a duplex, Tri, Quad. Additionally, I would get a mentor, attend your local REIA's (if your not already doing that) read your local tenants rights and landlords responsibilities manual.

Naturally, this will be a owners occupied situation. So, you will, most optimally, will be living for "free".