Updated over 10 years ago on . Most recent reply
First time in real estate investing, advise my strategy please!
I am a High school teacher in San Antonio Tx, and I have also consulted and flipped over 30 businesses in the general area. I am moving into the REI field and have learned SOOO much in the past month from bigger pockets - I have read find it close it profit, and ultimate guides. and forums and posts and soo much my brain is about to explode. I have developed a strategy to move into a quadplex although I have found a 8 unit I am interested in, and use an FHA loan to purchase first property, then buy another multi and another and during since im a teacher I get a lot of days off per year to flip and wholesale on my time off for additional income in which would be used with conventional loans to buy more multfamily. (I have about 100k cash in bank but am trying to build wealth with as much debt as possible and not use my personal money.) after about 5 years I would upgrade to 50 unit complexes and start doing private lending. I am looking for people experienced to enlighten and share insight on this strategy.
PS.. I have been in contact with a lot of people that are realtors and brokers by trade, but their investment portfolio is relatively thin. . my question is why? if they already know exactly how to become successful in REI why would they rather be a broker or realtor at a firm? curious..
Most Popular Reply
You can buy a 4 plex with an FHA loan, but you have to live there for at least a year in order to satiate the resident requirement of an FHA loan. This is how I got into real estate investing. I bought a duplex with FHA loan when I was 20, lived in one side rented out the other. After a couple years, I repeated the same process. I got to where I had 3 duplexes and was only making about $45K/year at my day job. Tough to do in some cities, but the cost of living and housing in St. Louis (where I lived at the time) was so low. I did the same thing when we relocated to San Antonio 3 years ago. Except for this time I got my real estate license and started investing full-time. I guess I am one of the odd agents that owns rentals, flips properties, and still buys and sells for other investors.