is it better to rent or to flip for quick profit?

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is it better to rent or to flip for quick profit?

Elisa Prado
Huntsville, AL · Member since 2017 · 10 posts · 1 vote

Hello, my name is Elisa Prado, bilingual, civil engineer and i am new in bigger pockets. I would like to introduce myself and start creating a network. I currently live in Birmingham, AL and me and mys husband are moving to Huntsville, AL next year. We are fascinated with investing into real estate and we have been saving as much as we can to start out adventure as soon as we arrive over there. Ideally, I would like to obtain a job in a construction company that deals with real estate. My passion is Project Management and Interior Design. I have been reading tons of books and learning different building codes to start learning the dos and don'ts or REI and construction. The main question that comes to mind is: If i would like to grow capital to keep investing, is flipping my best option when compared to rentals? Also, I just dont know where to start, other than getting to know the market i would like to invest first. Is anybody currently investing in Huntsville,AL? Thanks

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Ken Vingua
Oceanside, CA · Member since 2016 · 35 posts · 30 votes
9y

Before anyone can really give you the advice you are looking for you have to clearly know what you want from real estate. If your goal is to generate passive income over time then get into rentals. Use your project management passion to BRRRR your way to a large portfolio or take on multifamily value add deals. If you are looking to pay your bills today then maybe you need to look at flipping projects. Again leveraging your PM skills and passion, you can partner with others to tackle multiple deals and be an active investor to support your living expenses today. There is no best way that applies to everyone but there may be a best way forward for you depending on what you want out of your real estate profession.

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  • Ken Vingua
    Oceanside, CA · Member since 2016 · 35 posts · 30 votes
    9y

    Before anyone can really give you the advice you are looking for you have to clearly know what you want from real estate. If your goal is to generate passive income over time then get into rentals. Use your project management passion to BRRRR your way to a large portfolio or take on multifamily value add deals. If you are looking to pay your bills today then maybe you need to look at flipping projects. Again leveraging your PM skills and passion, you can partner with others to tackle multiple deals and be an active investor to support your living expenses today. There is no best way that applies to everyone but there may be a best way forward for you depending on what you want out of your real estate profession.

    1Reply
  • Michael Plante
    Deland, FL · Member since 2017 · 2k+ posts · 1k+ votes
    9y

    you stated your goal is to grow your investment money

    To do that I would flip

    1Reply
  • Elisa Prado
    OP
    Huntsville, AL · Member since 2017 · 10 posts · 1 vote
    9y

    For now I would like to first learn as much as I can and apply my project management skills. I would also like to generate passive income over time but the truth is I will need a little bit more money to start expanding. so ideally I would love to do project management and start with some flipping to build some investment money to acquire the rental properties in the future. I have been reading at building codes to have a better understanding of the field. but as my priority I would like to get a construction project management job, improve the skills and then jump on it feeling more confident. It is just a matter of starting. But to answer my first question I think rentals are good in the long term but maybe not in the beginning if I want more capital

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  • Tobias Falzone
    Real Estate Agent · Orlando, FL · Member since 2015 · 126 posts · 74 votes
    9y
    Flipping is faster and can generate higher returns, but it is an active process and a job. Rentals are more predictable and carry less risk. I like hybrid strategies where you look for value add opportunities in cash flowing multifamily properties. It may take two years to execute, but you can cash flow during ownership and enjoy an increase in value from improving the performance of the property on sale or refinancing. Steve Berges' book on buying and selling apartment buildings talks about this approach and it is what I would like to try to do for my future investments in multifamily. I think Huntsville is a great multifamily market for cash flow.
    1Reply
  • Elisa Prado
    OP
    Huntsville, AL · Member since 2017 · 10 posts · 1 vote
    9y

    thank you so much for all your advices i will definitely keep them in mind

    0Reply
  • Michael TincherPro Member
    Real Estate Agent · Orange Beach, AL · Member since 2016 · 23 posts · 18 votes
    9y
    Elisa, if you do not have a contact in Huntsville yet, feel free to reach out to me for any questions on the Huntsville market. I may also be able to plug you in with the right people in the construction area. Huntsville is a great place to begin your real estate investing!
    1Reply
  • Elisa Prado
    OP
    Huntsville, AL · Member since 2017 · 10 posts · 1 vote
    9y

    Thanka Michael. I just sent you an invitation

    0Reply
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