I am fairly new to real estate investing. I am from a small town and have family that invests in rental property, but on a very small scale. Currently I have one rental that cash flows about $6500/year that I paid for with cash. I have 2 semesters remaining til I get my MBA degree, and I was just curious where a good place to start for me would be. I graduated with a finance degree before starting on my MBA, so I was thinking of taking a job after college in banking or in something related to mortgages/real estate. My thoughts are that I could learn a lot about real estate investing and financing while I build up some cash to start investing more. Eventually, I'd like to invest in real estate full time, so I am just trying to figure out what the best route would be to get started.
Do you property manage the one rental you have now? If you're really happy with it and how it operates, you might as well duplicate the process and add another one to the portfolio. Of course make sure that your W-2 income will be enough to sustain after the purchase, you have a 6 month nest egg, etc.
You will have no problem finding a decent paying job once you finish your MBA. If you are weary about the education portion of investing I suggest you do as much research now before you begin your position. Best of luck from a fellow finance student!
I do manage it myself. It doesn't take much to manage because I was able to find good renters, but I'm not really wanting to buy many houses in that area because good renters are hard to come by as its mostly low income. I would just like to choose a job after school that will teach me things that I can put into my real estate investment strategies. I don't know much about banking and lending other than what I've been taught in school, so I thought that may be the best area for me to work after college. I was really just curious about what others are doing for jobs on top of doing real estate.
As far as duplicating the process goes. I used about every bit of money I had available to purchase the house with cash and renovate it, as well as a small loan from a family member. I'm hoping to have them paid back completely by the end of this year, so will not have enough money for a while to do another deal.
I would say- get a job in whatever most interests you. Even if it's not numbers-based or real estate related, you can always learn real estate outside of whatever job you are working. If numbers and real estate are your biggest interest, you could definitely do something related then. But I don't recommend getting a job that you could potentially hate in attempt to learn it.
What are your biggest interests job-wise or related to our outside of real estate? Anything?