First time investor ( BRRRR)
Hi everyone my name is Mason and I’m in Alabama .
I'm looking to purchase my first property around this time in 2027. I've been keeping up with bigger pockets , doing great amounts of homework and running my scenarios to figure my ROI's and figuring estimates on renovations .
I guess my question would be ? How good of a position should I be in to feel comfortable going forward ? What should the price range for my first property be and also just asking for any general advice from the more experienced people ?
I have $50’000+ of capitol and excellent credit , my problem is I just think I’m more nervous than anything
Most Popular Reply
Mason. You are in a great position. By 2027, you should have $ 50,000 plus in capital, a credit score around 750, a 3–6-month emergency fund, and 3% to 5% of the property value saved for maintenance. If you have control over these factors, you are in the driver’s seat.
Your next task would be determining your acquisition price. The price will be based on your strategy and submarket of choice. If you choose a traditional investment in the form of a single-family rental, you will put down 20 % equity. This would possibly give you a price range of $ 150,000 to $ 175,000. If you face high interest rates, you can refinance later. Aside from the price range, you want to pick a home in a submarket with strong tailwinds such as job growth, population growth, and neighborhood revitalization.
Focus on a property with a price that works for your budget and that has intrinsic value.
I hope that this helps.