Updated over 4 years ago on . Most recent reply
Investing inheritance. Need help
Hey guys, need some advice here. So, I've been absorbing so much over the last several months on RE, investment strategies, leadership, business, taxes, etc. I don't exactly know if I'm in analysis paralysis so much as am unable to make a move yet. My wife and I are moving from Baton rouge to Los Angeles in several months for better work. ( I work as a sculptor for movies). We have received an inheritance close to $200k and are looking to invest. My question is this: do we try to start from scratch in, from what I understand, an extremely competitive market in LA or should we invest in properties in our current local market in Baton rouge? Looking to execute the Brrrr strategy. Any advice is welcome guys. 😊
Most Popular Reply
First you must answer this question: What are your goals for your first year, first 5, and first 10 years of your investment and to achieve said goals, which strategy can get you there the quickest without undue risks added? Once you can answer that, you can then identify your specific niche strategy and then identify the markets in which that strategy is most effective for you and your skill sets and abilities.
Having some initial capital will help. BRRR in LA can work if you find a multi with value add opportunities and plan to hold for 5+ years. You will likely not have cash flow in the first few years but your appreciation, both forced and market will most likely (based on history) outperform any other market in other states. Investing in your own backyard is also a benefit logistically so that too should also be a weighing factor for your decision as to where.