First investment- should I start with a flip or renal property?

[Megan Hodges]

I’m 22 and want to start my real estate investing journey, by this time next year I’d like to atleast have 1 property under my belt. I personally won’t have much money to put into it so I’ll be using some kind of lender/loan etc and may have my dad (who also wants to start investing) invest if I need more. My question is, being that I don’t have a whole lot to put into it- should I find a house, flip it, pay the expenses & the loan back and then use the profit to invest in rentals or should I go straight to rentals? I would really appreciate any advice! I’m in the Houston area and will be looking for a mentor, agent, etc probably by the new year so I’m also taking recommendations on that. Thanks in advance!

[Cody L.]

Originally posted by @Megan Hodges:

I’m 22 and want to start my real estate investing journey, by this time next year I’d like to atleast have 1 property under my belt. I personally won’t have much money to put into it so I’ll be using some kind of lender/loan etc and may have my dad (who also wants to start investing) invest if I need more.

My question is, being that I don’t have a whole lot to put into it- should I find a house, flip it, pay the expenses & the loan back and then use the profit to invest in rentals or should I go straight to rentals?

I would really appreciate any advice! I’m in the Houston area and will be looking for a mentor, agent, etc probably by the new year so I’m also taking recommendations on that. Thanks in advance!

 If it helps to motivate, I did what you're looking to do.  I used to do flips to help fund my first rental property buys.  Flips are great of income -- like a job.  Where as rentals are good for building equity and growth.   One will make you rich, one makes your kids rich also.