Down Payment Struggles As A Newbie

Down Payment Struggles As A Newbie

Rental Property Investor · Phoenix, AZ · Member since 2021 · 33 posts · 6 votes

I’m looking to invest in a property in Arizona. This will be my first property ever bought or invested in. I have no down payment. I’m not sure if a loan, credit cards or my 401k would be a better option to use as my down payment. Some people also say do a couple of flips to build the capital but i need a down payment to even start a flip. And saving just seems like such a long process to me.

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Rental Property Investor · Corvallis, OR · Member since 2018 · 840 posts · 1k+ votes
5y

@Dareen Allie live below your means, take 2nd or part time job, liquidate belongings to turn into cash, ditch items that may have payments, (car payments) and you can make it happen.

I do not know the Arizona market but I know it takes work to save money. You can do it!

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  • Basit SiddiqiBusiness Member
    Accountant · New York, NY · Member since 2015 · 8k+ posts · 3k+ votes
    5y

    You need cash to invest in real estate - Whether it be for the down payment or the reserves you will need when something needs to be repaired/replaced.

    You may want to consider taking a loan from your 401K or even stop putting money into your 401K to start getting the cash reserves.

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