Advice/Opinions/Thoughts on this scenario
If you had $500,000 and are a rooke REI, what's your move to get started?
Would you focus on a high cap or low cap market? Would you buy and hold a SFR/MFR or go right into a different strategy/niche?
Most Popular Reply
Hey Dan,
I have heard it a million times myself, but I would recommend that you start with the end in mind. What are your future goals, where do you want to be in 5 years? Take time to think deeply about those questions and give yourself honest answers. From there, start to work backwards and envision how you will get there. Are you trying to leave your job at some point in the near future? If so, then maybe a strategy such as high cap MFR is the better route for higher cashflow. Or, are you in a good job you enjoy and do not plan on leaving anytime soon? In this case, maybe cash flow is not as important and you are looking for appreciating property for your retirement. In that case, maybe you consider the low cap SFR or MFR in appreciating markets.
Hope that helps and good luck on your journey!