Originally posted by @Tyrone Riley :
My wife and I are starting down this road. Our strategy is to buy local to start. Our budget for investing is about $100k cash each year and an additional budget of $3500/month that we are transferring to our llc. We are planning to start with $500k roughly of property. We have identified 7 units with 5 currently occupied and one duplex that needs cosmetic renovation. These units are in C neighborhood and will consume about 245k of our initial budget. The second bundle is a mixed used building with commercial long term tenant on the ground floor. And two structurally rehabbed residential floors above that are bare and need a complete buildout. That building is 225k and the commercial tenant’s lease covers the 15 yr note. The rehab qualifies for some substantial subsidies in downtown district with city having a grant program for market rate apartment buildout of $25k per unit matching dollar.
Does this seem to ambitious out of the gate? The $142k budget won’t change our lifestyle at all or cause significant financial pain but I would definitely prefer not to lose it
Hello and welcome! Best of luck to you!
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