NEW INVESTOR NEED ADVISE ON HOW TO INVEST $100-$120K
So we have a house with equity of about $750K, mortgage is paid off. I am closing a business and am now collecting funds from it. I have about $100-$120K to invest soon and about another $80-$100K to invest beginning of 2021.
I have been debating 529 plans, but I thought it would be smarter to invest in real estate. So I was looking into Lakeland Fl. Now I can buy one property for $120K and collect income without paying a mortgage or I could buy 5 properties and put 20% down and in the long run make a lot more money. I have a short goal of 4 years where I may want to sell the property/properties and help my kids with college, or I may not have to.
So I ran the #s, by investing in the 5 properties after 4 years I would have made about $100K more than if I would have bought 1 house in cash. Accounting for a 2.7% house market appreciation and 4% interest rates.
I understand that buying all 5 houses with mortgages is riskier obviously, but what advise would you all give me.
Thank you!