What to do with $30,000 cash!?

[Hudson Walker]

Hello fellow BPs! I’ve worked and saved up about $30k. I want to get into real estate investing, but not sure if $30k is enough.

My long term goal is to have enough long term and short term rentals to quite my 9-5. I estimated that if I can generate $6k a month then I am FIRE! Although, I know it’s never free, you’ll always be working on your properties and you should.

So if I get 20 long term SFH all generating $300 a month in profit then I can achieve my goal. But how to get to there.

I don’t want to just dump all $30k into one rental. It would take forever to get to 20 homes.

Thoughts?

[Wade Haldeman]

@Hudson Walker

Welcome to BP and the best place to learn from so many great investors!

While there is nothing wrong with SF, a great place to start without getting too deep into the savings is small MF. Many people choose the BRRRR strategy (my favorite) and purchase a Duplex, Triplex, or Quad and house hack living in one unit. You can get far better financing with less down on your own residence. Even if you don't live on site, it's a good place to start.

Also find a partner or private lender to help with down payments, repairs, etc. You may find another trustworthy investor who needs a little funding and just be an equity partner for them to get some solid ROI. For example, I will borrow smaller amounts on occasion just for expenses and have returned 30% in a matter of weeks. Now, that is FAR from the norm, but I want anyone investing in me to know I appreciate them and their contributions.

Just a couple thoughts, but you certainly have enough to get started if used wisely. Best of luck!