Hey everyone, I'm 23 years old and looking to get into real estate investing as soon as possible. I'm currently studying Economics at UCLA, and will be graduating in 2018. I would like to be in a position to begin REI at most a year after graduation (after graduating I plan to have a solid W-2 job which will help with financing). I have a small amount of savings (about 10k) which I'm currently working on building up. Ideally, I would like to begin house hacking because paying my current 1700 a month in rent is really hurting my ability to save and focus on building wealth. I know California's market isn't the easiest to house hack in, but if anyone has had any success or has any advice I'd love to hear it. I will most likely be working in the LA area upon graduation, so I'm hoping to find a place that is within commuting distance.
On a side note, I inherited 42.5% of a single family 3 bed 3 bath home in Santa Clarita that my sister and I are currently renting out. Just thought I'd throw this in here and see if anyone had any general advice!
Thanks in advance!
Hi Matthew, welcome to Bigger Pockets! I am not far from you, in Newhall. I invest out of state. @Logan Allec has househacked locally. It is definitely tough to do in the L.A. area! Are you able to cash flow on the 3+3?
Hey Vanessa, thanks for the response! So regarding the 3+3, my info is very limited. When my mom passed, the house went into a trust. My uncle was the executor, however he passed and my sister became the executor. At the time, I wasn't interested in real estate (nor mature enough to gain interest in it) so my sister dealt with everything regarding the house. Fast forward about 3 years, and studying/learning anything real estate related has become a passion. Unfortunately my sister doesn't have much info regarding the financial aspects of the house. She has agreed to meet with me in the next couple weeks so I can help her sort through everything and figure out all the numbers, so I should know more soon.
So to answer your question...I think we are cashflowing, but very minimally. Sorry for the life story, but I wanted to explain why my answer to your question is so vague. Once I get all the numbers I'll have a better answer.
I've actually been strongly considering focusing on out of state investing and would love to pick your brain. A buddy of mine actually just bought his first out of state property out in Waco. Have you decided whether to go with an LLC or umbrella policy? I know California is tricky when it comes to LLC's and out of state investment properties.