Santa Maria, CA · Member since 2016 · 26 posts · 6 votes
Out of the three ways to get into real estate investing I listed above(house hacking, live in your flip, or wholesales) which is the best strategy to get started?
Investor · Dallas, TX · Member since 2014 · 2k+ posts · 1k+ votes
10y
dude...that's like asking what's the best car color!! What's best for you is probably not best for me. I'll give you a quick example...a live in flip would be easy for me to manage, because I'm single and have no children. On the other hand, my business partner could never do that, because she's married with 3 small children.
I suggest you check out some of the Brandon Turner blogs and publications. He does a great job of going into detail about the positives and negatives of house hacking and live in flips.
Wholesaling is not for the faint of heart. And, even though the price point for entry is comparatively low, it requires you to be an expert at deal analysis, rehab estimation, marketing, negotiation, creative strategies, and multiple exit strategies. The folks who dive into wholesaling thinking it is an easy entry are 50% of the reason wholesalers are widely disliked. The other 50% are the ones trying to pass off junk as deals.
Investor · Dallas, TX · Member since 2014 · 2k+ posts · 1k+ votes
10y
dude...that's like asking what's the best car color!! What's best for you is probably not best for me. I'll give you a quick example...a live in flip would be easy for me to manage, because I'm single and have no children. On the other hand, my business partner could never do that, because she's married with 3 small children.
I suggest you check out some of the Brandon Turner blogs and publications. He does a great job of going into detail about the positives and negatives of house hacking and live in flips.
Wholesaling is not for the faint of heart. And, even though the price point for entry is comparatively low, it requires you to be an expert at deal analysis, rehab estimation, marketing, negotiation, creative strategies, and multiple exit strategies. The folks who dive into wholesaling thinking it is an easy entry are 50% of the reason wholesalers are widely disliked. The other 50% are the ones trying to pass off junk as deals.
The easiest class way to get started is house hacking. Low down payment, in CA is a great way to go. Flipping is going to be a huge cost most likely and as @Hattie Dizmond said you should have some experience to wholesale.
Hanford, CA · Member since 2013 · 5k+ posts · 1k+ votes
10y
Everyone has a very different opinion and honestly it is whatever your preference and comfort zone. I personally had no desire to wholesale. While we could have flipped any of our houses for a profit. The 30-60k profit would have had significantly less long term value than preserving the gains, along with getting principle pay down, cash flow and also slowly build up more annuities. For us house hacking or buying at every duty station and renting them out once we were transferred made the most sense. It allowed us to work towards our rental empire when we had very little starting capital.
Investor · Sachse, TX · Member since 2015 · 223 posts · 66 votes
10y
@Logan Sherwood Why not do all three at the same time? Buy a fixer house, have a buddy move in with you and pay half the rent. Do the repairs while you live there. Try to find more deals while you are not doing repairs. Move in a year and sell/hold and repeat. I do not believe there is a one and done type of investing.