Can I get started in real estate with $20k

Can I get started in real estate with $20k

Alexandria, VA · Member since 2017 · 19 posts · 2 votes

Good day BP members,

I live in one of the most expensive areas in Northern Virginia (NoVA). I work in D.C. but only make enough money to afford a place 40+ minutes away. Currently I live with my family in Alexandria but they are moving soon and I'm not going with them. I haven't been with my current job too long, and was broke before I had this job so savings is minimal at best right now.

I own a 2007 Corvette C6 which I paid off about a year and a half early, due to my current living situation and job. KBB assessed it at about 20K and I've been completely against selling it, till recently.

After my long winded introduction, my questions for you all are:

Will the 20K be enough to start investing in real estate in my area?

What is the best course of real estate investing in the NoVA area?

What other kind of guidance would you recommend?

I am open to any and all advice from everyone! Thank you for your time and I look forward to what you all have to say!

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Real Estate Agent · Virginia Beach, VA · Member since 2014 · 47 posts · 22 votes
9y

Definitely look into house hacking. You could use your VA loan to buy up to a quadruplex with no down payment, live in one unit and rent out the other three. After a year you could use an FHA style loan to repeat this process with a low down payment + PMI and have up to 7 units rented plus one that you live in.

If you found a property tomorrow and took a month to close, you could have 7 doors 13-14 months from now. And you could do it with $20k.

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  • Lender · Hackensack, NJ · Member since 2016 · 1k+ posts · 372 votes
    9y

    If going the non conventional loan route....Usually 20-25% of the deal will get it done in most cases. find something that meats those parameters and you should be on your way 

  • Investor · Memphis, TN · Member since 2016 · 215 posts · 128 votes
    9y
    I've seen a ton of amazing responses with huge value, but I haven't seen any in regards to using that 20k to create an entirely new life changing career in real estate. If I had to start over and had 20k at my disposal I would: - Heavily research "wholesale" real estate and hire a reputable mentor - Follow that mentor's guidance and Invest in marketing after properly studying the business - Remain consistent and work HARD/SMART until your wholesale real estate business easily generates more income for you than your day job - Eventually quit your day job (after extensively learning the business and have savings stuffed away for 6-12 months) - Invest in properties with much more capital and knowledge than you currently have with a lot less stress and risk Hope this helps!
  • Gilian GegawinPro Member
    Virtual Assistant · Scottsdale, AZ · Member since 2017 · 236 posts · 38 votes
    9y

    Good work, Wilhelm. You got past the first big hurdle in real estate investment, signing up and reaching out in BiggerPockets. We are happy to help you in any way we can.

  • Alexandria, VA · Member since 2017 · 19 posts · 2 votes
    9y

    @Rashard Alomari Thank you for your advice, really anything helps right now. How would I go about finding and vetting a mentor, also about how much would it cost to hire one?

    As always, anyone else please feel free to answer or advise!

  • Alexandria, VA · Member since 2017 · 19 posts · 2 votes
    9y

    @Gilian Gegawin Thank you, I will definitely be utilizing BiggerPockets as much as I can.

  • Gilian GegawinPro Member
    Virtual Assistant · Scottsdale, AZ · Member since 2017 · 236 posts · 38 votes
    9y

    @Wilhelm J. Lieto You are welcome, Wilhelm. 

  • Investor · Memphis, TN · Member since 2016 · 215 posts · 128 votes
    9y
    Wilhelm J. Lieto anytime! The prices range significantly to be honest. You can start with utilizing the free content of Sean Terry, Nick Ruiz, and Cody Sperber. Then, when you've grasped the concept, you can pay for their programs/mentorships. Get after it! It's VERY common for a well rounded and efficient wholesaler to make well over $20k per month in this business...with tons making over $100k...per...month... :)
  • Oakland, CA · Member since 2015 · 27 posts · 16 votes
    9y

    @roshard alomari 

    Hi! I'm also in a similar situation and have been following this thread for advice. Can I PM you for some advice? 

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