Hi Bigger Pocket-ers!
I am looking for your free advice, I know everyone loves talking about themselves, I mean I know I do, so PLEASE tell me all about you!
Before I ask my questions let me tell ya about myself!
In 2014 we bought our first house, although my husband made around 130k a opted for a 'good deal' because of who I am as a human. Put 2,000 into it, and profitted 40,000 after it sold .
In 2015, we bought a house for 262,000 and it now is worth around 311-320k. We pay 1400 in mortgage and rent it out for 1700 (which is VERY low for the area and we will be charging $1900-2100 next year, we were just in a rush to rent this time around).
This year we bought the house we live in and owe 250k and it's worth about 296,000.
I am 30 years old, and a stay at home mom. I have worked really hard to score these "great deals", and at the time I chalked it up to good luck, but now I believe I am really on to something! I love chasing instant equity homes, the relentless back and fourth of offers and counters, scouring the interest for the next GREAT DEAL. All the time and I have decided I should do this more aggressively. My husband has an income now of 200k a year and I find it wont be hard to get approved for loans.
So whats my next step? I'm reading, listening, searching and educating myself about all things REI, but I'm still a newbie. My overall goal is the same as most of you. For my husband and I to retire early (Ok--- mostly my husband since I am a SAHM) and just make REI our/my full time job. I spend hours house hunting, going to open houses, looking at comps, and demos just for fun -- so I think naturally becoming a Realtor would be in the best interest for me? I don't plan to join the rat race of realtors in my small community. Those of you who REI full time, are you also a Realtor?
Also, I know it all depends on the deal, but a few of my options are:
MFH (maybe 4 plex) in low/low middle class central Phoenix
SFH in a nicer area in phoenix
Duplex/condo in Lake Havasu to attempt for vacation rentals
So those of you who wouldn't mind sharing your advice I would GREATLY appreciate any! Please tell me about yourself and your investments and FEEL FREE TO HUMBLE BRAG!!
@Loryn Bamberg First of all welcome to BP and congrats on your success! I won't brag, I'll leave that to others but I will give you one important piece of advice.
Being that you are a stay at home mom, which I am a huge fan of, you can classify yourself as a "real estate professional" for tax purposes. You will need to track the hours you spend searching for deals, managing your properties, etc., and it needs to come to at least 750 hours per year.
Why is this important? One spouse being real estate professional, comes with it huge tax advantages including being able to use passive losses created by depreciation to offset any other forms of income. This is one of the best parts of being a 'real estate professional'