New to Real Estate · Nashville, TN · Member since 2018 · 12 posts · 8 votes
I am currently in college and planning on graduating in about a year. I am very interested in investing in real-estate upon graduating as I have learned from several full-time internships that I do not have a passion for working the 9-5 for a large corporation over the next 40 years. What is some advice to someone who will be graduating from college to get started in real estate? House hacking is very interesting to me for starting out. How have other young investors handled getting started without much saved and with some student debts?
Rental Property Investor · Durham, NC · Member since 2016 · 7k+ posts · 7k+ votes
7y
@John Hunt. There are multiple strategies you can do, househacking is one. I always recommend doing 2 main things on questions like this. Pay off student debt first and find the highest paying W2 job you can. W2 jobs make it much easier for financing, otherwise you’ll need to wait a couple years most likely.
I was in your shoes a few short years ago and bought my first rental a year out of college.
Rental Property Investor · Durham, NC · Member since 2016 · 7k+ posts · 7k+ votes
7y
@John Hunt. There are multiple strategies you can do, househacking is one. I always recommend doing 2 main things on questions like this. Pay off student debt first and find the highest paying W2 job you can. W2 jobs make it much easier for financing, otherwise you’ll need to wait a couple years most likely.
I was in your shoes a few short years ago and bought my first rental a year out of college.
I agree 100% with @John Hunt first get a good W2 you will need it in time to get financing and pay off all your student debt before you start saving to invest. It makes no matter how much money you have in the bank until you pay off bad debt you actually have no savings.
W2, pay off debt, save money, after a couple of years start looking to invest.
There is no easier way to make than trading your time for a paycheck and a pension. You need it to get financing and you will have plenty of time to invest in your spare time.
I'm in a similar position. I graduated with my BS in 2015, got a decent w2 position and am now about to close on a house hack. I did not pay off my student debt before making the decision to invest. I found a 3 unit property and the rents from 2 units covers the full PITI, meaning I can live in the 3rd unit for very little. Of course I will still have maintenance/upkeep costs and vacancies. In my neck of the woods a one bedroom apartment runs $1,000+. I could live in the house hack for very little freeing up much of my income to deal with the burden of my student loans or I could continue to pay over $1,000 a month for my apartment and my student loans as well. The decision for me was easy.