Updated about 8 years ago on . Most recent reply
Fix and flip rental vs. college rental
I'm have been into the real estate investment world for a while now and I've narrowed it down to either fix and flip rentals or college rentals. With fix and flip I could do some of the work myself, saving some money, but also have guys to do the other more serious construction. The reason I lean towards this method is buying at very low cost, fixing/flip, rent out much higher and then cash in equity for the next and so on. This sounds appealing because I want to have at least 10 properties soon.
However with college rentals, I have multiple college campuses within 30 minutes of me, the closest within 5 minutes. Most of these properties are between 70-110k with payments around 400-500/month and rent out for about 1200 a month. I would make double the profit on these but no equity and probably much less resale value and yearly massive renovation. I am torn.... which one would be the better option to start with?