What are the best investment strategies ?

Question

Buy-fix-sell

Buy and rent

Or are there others that have beneficial to you. Feel free to dm me. I would love to connect.

Jeff Copeland · Answer

That's like asking "What is the best vehicle for me?" It depends on how many passengers you need to transport, what else you need to haul, how far you are driving, your budget, your personal preferences, and many other factors.

That being said, mastering the BRRRR strategy is a powerful way for investors to scale their portfolio.

That being said, mastering the BRRRR strategy is a powerful way for investors to scale their portfolio.

Patrick C. Bellamy · Answer

Hey Tanner,   It depends on your goals, location, experience, financing, and type of property.  I would love to help answer you but this is a broad question.  What experience do you have?  Where are you located?  Are looking to invest locally or long distance?  Do you have enough money to finance yourself or will you be using a traditional lender or hard money lender?  What kind of property are you looking to flip or rent?     If you are looking to invest in Nashville, I have heard great things about that market.  I have a friend who is a realtor in Nashville who keeps an ear out for me. From what she says, it's worth looking into there first before finding other cities and states to invest.    Patrick

Billy Daniel · Answer

The first step is to decide what you want to get out of real estate.  Are you looking to make some cash relatively quickly?  Maybe look for a fix and flip.  Are you wanting something to supplement your income without taking a lot of time?  Maybe buy and hold with a PM.  Just want to get some money into real estate?  Maybe look for a syndication.

There is no "best" way just like there is no "worst" way.  You have to study and educate yourself on the options and then pick one that suits your needs and desires.  Personally, I like buy and hold with the occasional flip.  I don't want to get into any type of syndication or any other investment where I don't have control and /or decision making power.  I like the hands on stuff.  Others don't.

Ricardo Hidalgo · Answer

Buy - Fix - Sell until you have 500k liquid cash.

Then hold with 200k on passive income to pay for your rehab and keep 300k in working capital. You can double or triple growth with this strategy.

Eric Gerakos · Answer

The best "investment strategies" are those that make money.

Paul Moore · Answer

Hi @Tanner Bryant! Great question. I'm in my third decade as a real estate investor. If I could start over again, I would do whatever it takes to eventually get into the commercial real estate realm. The sooner the better. There are many strategies to get there. I did a lot of residential strategies, including flipping homes, buying to rent, lease to own, building from the ground up, etc. A lot of those were helpful to prepare me for being a real estate syndicator and a fund manager.

I have some video on BiggerPockets from about a year ago where I talked about 7 Paths to get into Commercial Real Estate. You can check those out. Good luck and happy investing!

Corey Martin · Answer

If you are looking in the Nashville market, I would reccoment buying and holding. The market in Nashville has lower cap rates than you might find in other markets so the play tends to be appreciation! We saw exponential growth from 2021 to 2022 and although we wont see those crazy numbers again in 2023, the signs are there that we will still see healthy appreciation! I do reccomend connecting with agents and lenders like the previous posts say to find out what you can do finacially and start your work from there!

John Mazzella · Answer

@Tanner Bryant if you are looking for passive income and have the capital I would suggest investing in syndications as an LP.

Aaron Porter · Answer

@Tanner Bryant- Everyone that has commented here is right.  your question is super broad and did a decent job of getting the conversation started but now you need to narrow down and come up with your goals.

fix and flips are great

buy and hold is great

Brrrr works great

house hacking is great

syndications, multi family, rv parks, modular home parks, and raw land development are all awesome moves....

What is your personal tolerance for risk?  How much money do you have to invest?  Are you trying to invest with $0 down, or do you have some liquidity?  what would happen to you if your investments start to lose money?  are you protected?  One of the great plays with real estate is that not only should rental property cash flow but in most cases real estate values inflate over time.

Being able to add extra arbitrage points anywhere you can while also reducing your risks is a smart play.  I really like using Whole life, and IUL policies to create some extra arbitrage points while allowing you access to your money, and offering you other statutory protections from things like taxes, divorce, bankruptcy, and providing living expenses, and a death benefit for your heirs.  Just make sure to work with a reputable and extremely knowledgeable agent who will set up the contracts properly so that they will perform the way that you need them to.

Pego Jean-Paul · Answer

Hi,

I would do a little more research. You can read the ultimate beginners guide here on bp. After that, you can decide your what strategy you may want to try. The best strategy is base on your interest in that area real estate, risk level and motivation to excel in that area. There many success and horror stories on bp with each stretagy so read  up on both sides. Good luck!

What are the best investment strategies ?

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