How would you invest 100K

[Theo Thompson]

If you had 100K cash in 2020 how would you invest it? 

[Cody Barna]

If I had $100k available to use strictly for real estate, I would start by purchasing a 2-4 unit property using an FHA loan that needs a moderate amount of cosmetic work, ideally something I could get below market and add sweat equity too. Considering that $100k in my market would be enough to fund the down payment and all of the repair costs. Since interest rates are extremely low right now I wouldn't refinance the property instead I would continue to build equity in that property while house hacking it. Using the money I have left over from the first deal I would purchase a second 2-4 unit ideally something that I could BRRRR and later use the equity that I pull out to fund the purchase of a third property. If need be I could tap into the equity from the first deal to fund my renovations on the second property, however I would prefer to leave that equity as a safety net incase anything big comes up.