Need Pro Advice on first Investment

[Kristin Rodriguez]

Hello BP fam! I have been studying real estate investing via Podcasts, books, mentorships, etc. for quite some time. I think I am beginning to get analysis paralysis! I will soon be in the position to make moves and need some advice from some Pro's! I am selling my primary residence and wish to use a portion of those proceeds to start my real estate investing journey. I have a good W-2 job making over 6 figures, my DTI is pretty low, my credit is decent. I will have about $20k-$30k in liquid. I wasn't sure if I should do a moderate flip first in a nearby City to get some additional capital. Then possibly house hack a fixer upper duplex with a FHA loan for a year and then scale form there. I don't wish to use all of my liquid cash. My ultimate long term goal is to own multiple multi-family units and eventually replace my W-2 income. What would you suggests my first should be? How quickly do you believe I can scale with minimum leverage? Thank you

[Jonathan Greene]

How many properties have you evaluated in person so far? Too many people think they are ready to invest just by learning, but a lot of the learning is general and not market-specific. Have you ever rehabbed a home? Do you know all the things to look for? Doing a flip as a first investment is very difficult without experience and proper guidance. If you are planning to house hack, that is usually a good option for a first investment because you can learn about landlording while also being on-site and able to leave when you want to. What would your plan be to do a moderate flip with only 20-30k liquid? Would you use hard money? Would they finance 100% of the renovation? In order to start investing, you have to get out and see properties every week so you understand what off-paper investments look like outside of calculators and formulas. How are you going to find deals? These are all questions and things to consider.