Selling or Renting

[George Wong]

I currently have my own place and thinking of getting another house. I'm new to wholesaling/RE investing and am trying to get my foot in the door utilizing my current home of either selling it or renting it out. With renting I'm concerned of the tenants (paying rent on time, messing up the property, etc.), upside is having the mortgage paid. So, I'm still indecisive on which way to go and how this could potentially help me get into wholesaling or move up to RE investing. Any advice or guidance would be greatly appreciated. Thanks!

[Laura Williams]

@George Wong I was terrified when I rented out my first place. I had watched that movie Pacific Heights once & it left an impression. I made the mistake of renting my first place to a friend because of that fear & thinking she would be safe.  It turned into a nightmare ...bad decision & NEVER again will rent to a friend!!  After I got her out of the apartment, I used a broker to find my next tenant & knock on wood I've not had any problems again in almost 10 years on my 2 NYC rentals. 

What's worked for me in my market is using a broker ...I find when someone uses a broker to find their place they are usually more serious & better people than I've found on my own plus they tend to stay longer. Also I read that it's best to not get too friendly with tenants & that it's a common newbie mistake. Your tenants need to have some kind of fear of you & what will happen if they don't pay their rent on time or mess up your place. Your landlord experience will be only as good as your tenant so also don't skip on any part of your tenant screening.

As far as anyone messing up your properties that's what deposits are for. You can always ask for more deposit if you feel you need it.  If you have a nice property in a good area the risk of a tenant messing up your place  is not high at all. I've never had a tenant do anything bad other than normal wear and tear. 

I think buying a home, living in it and then renting it out & buying the next one is a great way to get started. You can take advantage of low interest rate and start slowly.  I would encourage you to take that first step and get started investing. You can always post on here if you have any questions or problems as much as you need.