Maximum profit is cheapest multi family not more buldings

[Orlando Goodon]

So i get that once the mortgage is done you are sitting nice with equity and a profit boost, but to make any real money now i feel like you have to flip or wait until mortgage paid or keep buying buildings with 1k a month profit. Do it 4 times and you are sitting nice with 4k profit.

For me i think finding cheap building is way to go. Then i put down 70k, end up with tiny mortgage and profit boost plus pay off mortgage in 12 years not 30.

so i have an income source with 5k disposable per month, was putting in stocks. I could put that towards house. 300k price or less. Rental income covers mortgage, then take my 1k profit plus another 1k to fast track mortgage. So instead of paying 1700/month, i pay 3700 per month. Mortgage will be paid in less then 10. Save a ton in interest too.

Your thoughts? What would you do starting out with 5000 per month disposable income to create to most passive income the fastest. Id like to make 2000 to 3000 per month in less than 3 years

Thank you

[Taylor L.]

I don't like the cheap stuff primarily because it's in the 'worst' neighborhoods and tends to only attract lower-income tenants. Now if you're buying hairy properties in decent areas and fixing them up, that's much more appealing.

If you're bringing in $5k a month you'll need to start setting some aside for a downpayment and renovation costs. Do not cheap out on renovation costs if you're going for lower end properties! What market do you live in? Have you priced out deals in your local area?