How would you invest $100k???

Question

Hello to all !  I'm a fairly new investor and I'm in the process of doing a 1031 Exchange with a duplex that I have own.  I'm sure that I want to relinquish the property because the cashflow.  But I'm not quite sure what to purchase with the proceeds.  I am a moderate risk taker and I want to level up my investing by using leverage. Any suggestions? I don't know my blind spots.  Please help!

Justin R. · Answer

What are your goals? How much time/energy are you willing and capable of spending?

First of all, if you're not sure what you are looking for, I would reconsider the 1031. The time restraints may push you to a decision that you regret later. As people say "don't let the tail wag the dog."

Regarding your capital, you can simply buy a REIT, or become a limited partner on a syndication if you want ease. The next level up would be purchasing a "turn-key" property. Next would be purchasing a property buy yourself with either cash, or leveraging your 100k to well above that.

Partnering can get you into a bigger deal, and give you the experience you may need to continue growing. Bring something to the deal. If its your money, make sure you know you partner well enough you cant be taken advantage of. Place yourself on title or ensure a note is filed. Get legal counsel.

If your really wanting your money to work you can use that money to flip a few houses, and then convert that back into long term assets. BRRRR is another great strategy. If you buy right, you can possibly retrieve all your capital back upon financing. There are many great decisions, just don't blow it on a "get rich quick" class. Best of luck!