should i buy a apartment complex first? or single/duplex homes?

Question

hey guys so if yall had 500k right, and you wanted to get into realestate what route would you go? obv a mortgage but would you get a complex/triplex/duplex or single family to start?

Frank Procopio · Answer

remember your buying yourself a job. If it was easy then everyone would do it. Start off small and make sure you like it first. Im a big fan of singles but I would start with a 2-4 unit property so that you can get the full experience with tenants interacting with each other etc.

Account Closed · Answer

I'd buy something with cash for $400K that I was sure I could rent with tenants with minimal problems, and keep $100K in the bank.

Michael Ohara · Answer

@Tyler Winchell I sold it, licked my wounds, remembered my “why,” and kept going.

Tyler Winchell · Answer

gotcha, thanks for the response, now let me ask, how did you overcome this?

Michael Ohara · Answer

@Tyler Winchell

Main issue was inexperience and biting off more than I could chew. Plus, I was out of state. Slow is fast.

Satyam Mistry · Answer

@Tyler Winchell I would recommend starting small & getting experience self managing for a year first. Would start with a single family home and understand the income and expense aspects as well as the importance of having sufficient reserves in place. After that I could apply the same principles to a small multi family complex such as a duplex or fourplex. Spend as much time learning as you can then growing from there. All the first time headaches of being a landlord have been discussed on Bigger Pockets and can be referred back to. Having more money for a first investment when starting out in real estate is not necessarily a benefit. Best wishes.

Tyler Winchell · Answer

oh wow, ok may i ask you what problems you had?

Michael Ohara · Answer

@Tyler Winchell

I started with a 17 unit complex and it was very difficult as a beginner. Recommend cutting your teeth on a single family, then go from there. All the best

should i buy a apartment complex first? or single/duplex homes?

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