What would you do with $150k+ ?

Question

With $150k+ to invest, what strategy or market would you prioritize and why?

Melissa Justice · Answer

@Dawson Burton,

Hey Dawson! Welcome to BP!

With $150K+ to invest, here’s how I’d prioritize strategy and market:
Single-Family Buy-and-Hold in landlord-friendly, high cash-flowing markets, especially where your capital can go further across multiple doors. This allows for strong monthly income, long-term appreciation, and relatively simple management compared to multifamily or flips.

You could also consider:
BRRRR (Buy, Rehab, Rent, Refinance, Repeat) to recycle capital
Turnkey rentals if you prefer a passive, out-of-state approach
Small multifamily (duplex/triplex) if you’re open to managing more units upfront

Markets I’d look at:
Focus on B-/C+ neighborhoods in the Midwest and Southeast, where you can still get strong returns without overpaying:

Birmingham, AL - one of the fastest growing markets in the country, close to U of Alabama and Mercedes Benz plant

Akron/Canton, OH – Low entry cost, stable rental demand, solid PM presence
Columbus, GA – Military and student tenant base, value-add opportunities
Memphis, TN – High rent-to-price ratios, proven Section 8 cash flow
Ocala/Citrus Springs, FL – Growth market with strong rental demand
Albuquerque, NM – Underrated, steady appreciation and decent rent potential

If you’re trying to build both cash flow and long-term wealth, diversification across 2–3 strong rental markets might give you the best blend of stability, upside, and scalability.

Always happy to share more about specific markets or run deal scenarios side by side.

Best of luck!

Arman Ahmed · Answer

@Dawson Burton

Great position to be in, Dawson! With $150K, you’ve got a lot of flexibility. Personally, I’d look into buying 2–4 unit multifamily in a cash-flowing market like Columbus, OH — low entry price, strong rent-to-price ratios, and landlord-friendly laws. You could house hack or BRRRR into your next deal.

Strategy-wise, I’d focus on building long-term cash flow and equity with room to scale. What’s your risk tolerance — are you looking for passive income or more active/value-add deals?

Crystal Smith · Answer

The first thing I'd do is a search on Bigger Pocket that starts with the words "What would you do with".   You'll find over 1000 pages of responses to this question.  Here's what I would do:

1. Get qualified for a renovation loan with a Hard Money Lender (Why- The objective is to show you have the cash, but not to necessarily use it)

2.  If you do not have experience, then partner up with someone with experience in fix & flip

3. Find a property to fix and flip where you can make at least $50K.

4.. Repeat the process a couple of times to add about $150K to your bank account. It won't be $150K because you'll pay short-term capital gain tax, but you understand the point

5. Then start purchasing or passively investing in properties to hold for cash flow.

6. Learn how to become a private money lender

Dawson Burton · Answer

@Melissa Justice

I’ve actually been leaning heavily toward the BRRRR strategy since I like the ability to force appreciation, recycle my capital, and build long-term wealth without constantly needing new funds. Right now, I’m more focused on using my own capital rather than taking on financing up front, but I’m open to creative strategies if the right opportunity presents itself.

I’ve been looking into a few of the markets you mentioned — Memphis is high on my list, especially for its cash flow potential and investor infrastructure. Florida’s also on my radar, especially if I can find value-add opportunities in affordable pockets with long-term growth potential.

Appreciate the offer to run deal scenarios. I’d be happy to take you up on that soon as I narrow in on the next step.

Greg Parker · Answer

Purchase 5 sf houses in B areas, 20k down, DSCR loans, 10k each for reno/upgrade.

https://www.biggerpockets.com/markets?market=Montgomery%2C%2...

Evan Polaski · Answer

Flipping in my own market.  Or put it in the S&P500.

But this is an irrelevant question.  What are your actual goals?  How much work do you want to put into placing the capital?  How much risk are you willing to take?  How are you actually adding value in any meaningful way to the investment?

Alan F. · Answer

What would I do with $150k? Right now....

I'd buy a bunch of lumber, romex, copper pipe, 2 or 3 split systems & line sets. Throw some more in the stock market, some gold & give some to my kids. But that's me.

To Evans point develop a strategy a deploy your capital carefully, look for good COC returns.

Syed Ahmed · Answer

Great question  $150k+ opens a lot of doors. Personally, I’d lean toward markets with strong rental demand and room for value-add, maybe mid-tier cities where cash flow beats price appreciation. The key is balancing risk with upside and knowing your exit plan before you jump in. Curious what others prioritize with this kind of capital

Mike Klarman · Answer

with 150k, I do advantage cash buys.  Probably get 30% - 50% off the real market value.  Talking about 30k - 60k bucket.  If. the rehab is small, under 40k, I'd fund it myself.  The ARV on these types of houses is 150k - 190k.  So I can be in for 75k - 90k.  That makes my project cost 50% of ARV.  I now am in a very advantageous position.  I can sell for under market value and make a very nice profit, or I can go to a DSCR lender and refi at a 50% LTV just to get my money out and keep the payment and interest rate low, and then I'd opt for section 8 tenant which has subsidized rent between 1750 - 2k.  My loan payment would be half of that, so my DSCR would be 2 : 1, or I can do an easy flip for 50k+ profit.

I'd repeat this over and over and over, utilizing both exit strategies.

Constantly staying flush with cash in the meantime and eventually do 2 at a time.

Charles Clark · Answer

@Dawson Burton

Great question — with $150K+ to invest, you have a lot of flexibility to build serious momentum!

Personally, I’d prioritize one of two strategies depending on your risk tolerance and goals:

Cash-Flow Play (Out-of-State, Low-Cost Markets)
Target markets like Cincinnati, Indianapolis, or Kansas City where you can acquire multiple doors (duplex or even triplex) for under $300K. With 20-25% down, you’d have capital left for reserves, light rehab, or even a second deal. These markets offer strong rent-to-price ratios and landlord-friendly laws.

Appreciation + Medium-Term Rental
If you want a balance of equity growth and income, look at Sunbelt cities like Charlotte, Raleigh, or parts of Florida. Medium-term rentals (3–6 month furnished stays for traveling professionals) can outperform traditional long-term rents — especially near hospitals or corporate hubs.

Why?
Your $150K can be a launchpad to either diversify across markets or make one strong buy with great leverage. The key is aligning your strategy with your goals — cash flow now vs. long-term equity vs. a mix of both.

Would love to hear your goals and help bounce around ideas!

What would you do with $150k+ ?

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