Hey everyone! I am new here and have been trying to figure out the best way for me to get into the real estate investing.
I am in the DFW area and came in to about ~300k after taxes. Just wanting to come up with the most efficient way to utilize it and thought you all would have some good advice here. Not looking to go full time into real estate at this point, just wanting to build up my portfolio and cash flow.
Real Estate Agent · Portland, OR · Member since 2016 · 1k+ posts · 605 votes
5y
Hey @Graham Allen. The simplest thing you could do would be to invest in syndications. That will get your feet wet in real estate investing and mitigating your risk. I would recommend only investing $50k-$75 in a fund to start off with. After 6 months or so you can regroup and see if that is for you. However, the best returns are going to be with value add buy & hold properties. These could be a BRRRR project or just a small cosmetic fix on a multifamily property. Also, multi-family usually have better returns than single-family.
Real Estate Agent · Portland, OR · Member since 2016 · 1k+ posts · 605 votes
5y
Hey @Graham Allen. The simplest thing you could do would be to invest in syndications. That will get your feet wet in real estate investing and mitigating your risk. I would recommend only investing $50k-$75 in a fund to start off with. After 6 months or so you can regroup and see if that is for you. However, the best returns are going to be with value add buy & hold properties. These could be a BRRRR project or just a small cosmetic fix on a multifamily property. Also, multi-family usually have better returns than single-family.
Rental Property Investor · Oklahoma City, OK · Member since 2020 · 309 posts · 184 votes
5y
@Graham Allen Find a niche that you like (ex. single family residence, near a military base, or a STR in a vacation place or near a large hospital system?) Pick something that peaks your interest! Do you like the DFW area? Or if not, have you thought of looking into markets that aren't in the DFW area? Find a good local realtor (there's tons of them here on the BP Forums) in the city you are interested in, contact them and just talk. Find a local investor meet-up, and make some local connections. READ some books and learn about different types of REI--tons of great ones here in the BP bookstore, pick one and you can't go wrong IMO. Set up keyword alerts here in the forums for the things that you are interested in (like booklist, DFW, Texas, newbie, pick another city or state, pick SFR or STR or Multi-family). Good luck and welcome to the BP Forums!
Investor · San Diego, CA · Member since 2016 · 1k+ posts · 975 votes
5y
@Graham Allen Step 1: What are your long-term goals? What is your why?
Do you need the cash flow now to supplement your income or are you looking for more of an appreciation play? Do you want the investment to be 100% passive? If so, syndication is the way to go like what @brad hammond said. You could put 50k into a few different deals. If you're looking for something more hands-on, I'd recommend first joining a mastermind group to surround yourself with like-minded individuals, then start gaining knowledge about whatever strategy and asset class you want to invest in. Reach out to as many people already doing what you want to do.
Best of luck on your journey and keep us updated on your progress!
Commercial Real Estate Fund Manager · Lynchburg, VA · Member since 2015 · 1k+ posts · 1k+ votes
5y
@Graham Allen. Congratulations! If you want to get into full-time real estate investing, you have many options. But if you don’t want to invest in real estate full-time, I highly recommend you find a fund or a syndication to invest possibly. Happy and Investing!