Overwhlemed

[Erica C.]

Hi everyone. My mother and I have 28K to begin our real estate investment. We would like to purchase properties to rent for passive income to fund her retirement. Is this enough to begin investing? The amount of information is overwhelming and her financial advisor is filling her with fear about taking the money and using it for real estate - which he equates to flushing it down the toilet due to the high risk. He suggests she keeps the money in an IRA for rainy days, downsize, do a reverse mortgage or move in with me.

We have purchased several BiggerPockets books and audios, but we feel inundated with information. The industry is so alien to us. Is there a way for us to get started slowly while having some confidence that we are investing properly to minimize our risk?

[Chris Mason]

Originally posted by @Erica C.:

...her financial advisor is filling her with fear about taking the money and using it for real estate - which he equates to flushing it down the toilet due to the high risk. He suggests she keeps the money in an IRA for rainy days, downsize, do a reverse mortgage or move in with me.

 I suspect that I learned three things from that:

1) He gets paid based on how much money she puts in an IRA.

2) He is not a licensed real estate agent, and wouldn't get paid if you and/or your mom purchased RE.

3) He's got a buddy that does reverse mortgages, or does them himself. 

Opinions vary; I personally think reverse mortgages should be illegal.