Hi, I'm new to real estate investing, if you haven't figured that out already. So I've been researching and learning everything that I can for the past few months now and I still don't feel like I know enough to jump in. I want to be successful so very badly but I just don't want to make a mistake that's going to cost me loads of money.
I'm 24 and my girlfriend and I are currently living with my parents and we both work and make an alright living. We have about 10k saved up but we want to move out as soon as possible. What is a really good way we can move out and get started in REI at the same time as effeciently as possible?
I wanted to do some house hacking in a multifamily for my first deal but I can't seem to find anything in my area (Southwest Florida) worth investing in. Then I changed my mind and decided maybe I should just buy a house, renovate it, live there for a year and then move out and rent it out. Has anyone started out in a similar situation? Also I would love to start networking if there's anything going on in this area please let me know!
Welcome to the investment real estate world! 10k is a good start to your available investment capital, however, in order to purchase any property you will most likely need to obtain financing. Typically, investors use hard money lenders instead of conventional lenders. My advice would be to first establish a support team that will be assisting you (contractors, lenders, property manager if needed, attorney, etc.). One of the most common mistakes new investors make is underestimating the cost of rehab and mismanaging the rehab process. By establishing your network beforehand, it can help to reduce some of the complexity involved. Also, I would suggest that you buy & flip your first few properties until grow your available capital and then look into owning rental units to establish a cash flow. Flipping can be much easier to manage and doesn't have the recurring costs, such as repairs and management, that owning a rental unit can have, which can be costly with limited available funds.
I hope this helped and don't hesitate to reach out if you have any questions!
New Western Acquisitions
Thank you so much for the reply! I keep hearing that flipping houses is getting really oversaturated nowadays. Do you think it's still a worthy investment? And is it fairly easy to get into and get started? Also on average how long does a flip typically take from start to finish? Thanks so much for your time!