No Job with 90K? Office Then Helicopter or Straight to Helicopter

25 Replies

Hi BPers!!!

I've got a question and I thank each and everyone of you for your response. You ROCK!

I'm in between jobs (a.k.a not employed) and I'm hoping I don't have to go back to the office life.

I have 90K to use for investments.

I can live for a year using other money I've saved.

I've yet to buy any type of property.

My goal is to be a helicopter pilot but not rely solely on that for money. Tuition is 75K (I can get a loan for that no problem) and takes 18 months. The school is in Idaho. Let's say I'm not working during that time.

Not sure if I should:

A. Go back to work for a while and build more money for RE investing before flight school or...

B. Go to flight school now and and start that path. 

What would you do with the 90K and my life situation?

Thank you so much everybody!!!

@Skylar Vincent - Go do a house hack in Idaho near the flight school. Live in one unit, rent the other room(s) in your unit to classmates. Then rent the other units in the small multifamily. Hopefully all your housing costs are covered and you can make a little money. Once it is fully rented, refi and get most of your cash back out. After a year in the property, buy a second house hack, do the same thing. At the end of your 18 months in flight school, you own two small multifamily properties that are giving you positive cashflow. 

On a side note, is flight school really that expensive for a helicopter pilot? Most flight schools where you learn on a plane run around $10-$25k. I have wanted to look at learning to fly a helicopter, but I think I will pass and stick with learning to fly a plane. 

Originally posted by @Andrew Kerr :

@Skylar Vincent - Go do a house hack in Idaho near the flight school. Live in one unit, rent the other room(s) in your unit to classmates. Then rent the other units in the small multifamily. Hopefully all your housing costs are covered and you can make a little money. Once it is fully rented, refi and get most of your cash back out. After a year in the property, buy a second house hack, do the same thing. At the end of your 18 months in flight school, you own two small multifamily properties that are giving you positive cashflow. 

On a side note, is flight school really that expensive for a helicopter pilot? Most flight schools where you learn on a plane run around $10-$25k. I have wanted to look at learning to fly a helicopter, but I think I will pass and stick with learning to fly a plane. 

I like this advice I would further add that in that scenario I would use an FHA 3.5% down program so you keep as much of the 90k liquid.

you cant count on refi..  will refi be there probably but not always.. history has taught us that lesson.

Andrew just getting a single engine land pilots license is different than going to school to be employed in the field..  And helicopters cost much more to rent than a Cessna 152 or 172..  Ergo the cost is higher.. and I suspect might take a few more flight hours.

I mean most of us can solo at 10 to 15 hours in a trainer. 

@Jay Hinrichs I was thinking it couldn't qualify for an FHA loan if he isn't work, and just in school. He could buy all cash. But @Skylar Vincent , by all means, I agree with Jay, go the FHA route if you can qualify.

Ah that make sense. Guess I need to add quite a few more doors to my portfolio before I can think about learning to fly a helicopter. 

Originally posted by @Andrew Kerr :

@Jay Hinrichs I was thinking it couldn't qualify for an FHA loan if he isn't work, and just in school. He could buy all cash. But @Skylar Vincent , by all means, I agree with Jay, go the FHA route if you can qualify.

Ah that make sense. Guess I need to add quite a few more doors to my portfolio before I can think about learning to fly a helicopter. 

yes not sure about qualifying ... however pretty sure you can't buy a duplex or even a house that is livable for 90k in that area. 

@Andrew Kerr & @Jay Hinrichs You guys seriously ROCK!!! Thank you so much for spending your time responding. I really appreciate it.

I love the house hack idea and FHA at 3.5%.

I will talk to my lender about the FHA.

My concern about the house hack is that I won't be able to refi if I'm not working?

If I can make it work in Idaho to fly I want to but I don't want to be stuck. They don't make much and I definitely need to retire. After I get my license I'll make 25K-30K as a flight instructor for about a year. Then a little more doing tours for a couple years. Then 60K-100K as search and rescue. 

I want to do it but I need to retire eventually too:) I just want to make a sound, smart, well informed decision. 

Thank you!

House hack!! The school is in Caldwell? There are many affordable places still in Canyon county. Even if you were to buy a single family home and airbnb the other rooms or rent to friends. You can use that 90 k for a lot of investing!! Let me know if I can help you with buying anything in the area. I am an agent and investor.

Is this only school that teaches to be helicopter pilot, or there is a cheaper version of that? Also can you get any scholarships or grants? I would check that as much. Know a lot of people who got tons scholarships and/or grants to help with schools.  

@Ernie V. You kick serious butt for spending time to reply to me. Thank you! There may be cheaper schools but this school has all four seasons and also mountain flying. That means I will be flying in all types of conditions which is good for getting hired:) Also I really like Idaho for the fact that they offer good fly fishing, white water rafting, and bird hunting. 

Which direction would you point me in to get a grant or scholarship?

Thanks Ernie!

You’re actually getting a great deal on your school! My husband went to Upper Limit [email protected] SUU and it was quite a bit more. He instructed last year and is now flying tours in Hawaii over the angry volcano. lol

I second the house hack idea if you’re ok with an out of town investment once your 18 months are up. It’s not for everyone, but it’s a great option with almost built-in future tenants (students who come in after you)

Congrats on this adventure, and if you’d ever like to talk with my husband about heli stuff, I’d be glad to connect you. :)

I'd definitely do the house hack idea as outlined by @Andrew Kerr . You can most likely use a co-borrower (relative) to help qualify for an FHA loan at 3.5% down. If you get a second one you might have enough cash flow to cover the flight school loans, how cool would that be?

I looked into the helicopter pilot route a few years back, did some demo flights, definitely a cool career path!  I wound up on the water instead as a boat captain.

Originally posted by @Skylar Vincent :

@Ernie V. You kick serious butt for spending time to reply to me. Thank you! There may be cheaper schools but this school has all four seasons and also mountain flying. That means I will be flying in all types of conditions which is good for getting hired:) Also I really like Idaho for the fact that they offer good fly fishing, white water rafting, and bird hunting. 

Which direction would you point me in to get a grant or scholarship?

Thanks Ernie!

 Check that with your school, they should have some offerings, call or email financial adviser over there. 

90k won't make you a real estate investor and it's best to learn how to make it in this business with out money first.  Then you know what to do with the money you do have.  An option is to get your pilot license and learn how to become a real estate investor with a very limited budget.  Burn the candle at both ends. 

1. Maximize long-term "good" debt on education and real estate.

2. House-hack with very-low down. Use about $15,000 to get into a $300,000 investment; they are available in Caldwell.

3. Assume 100% financing on school debt if you can get in below 5-6%.  

- you still have $75,000.

4. Invest 25,000 in a real estate fund that expects 20% return in five years.

- you have 50,000 to live on for 18 months.

@Skylar Vincent Caldwell is a growing place to invest for sure...lots of revitilazation downtown and much lower price points than Boise. Sounds like you already have a lender...so that is the first step. House hacking with FHA is a great opportunity. Good luck with your decision -and be sure to touch base with our local Boise/Treasure Valley BP community if you move out here!

Thanks @Ian Walsh I really appreciate you replying. You ROCK!! To your point I'm thinking of taking a year to learn how to analyze deals and find investors/partners that want to go in on them. That way I'll have some experience and hopefully 3-10 doors generating me income. Then start flight school.

Imagine what I'll learn if I spend 8hrs a day for a year analyzing deals? Right?

Looking forward to hearing your thoughts! 

Originally posted by @Skylar Vincent :

Thanks @Ian Walsh I really appreciate you replying. You ROCK!! To your point I'm thinking of taking a year to learn how to analyze deals and find investors/partners that want to go in on them. That way I'll have some experience and hopefully 3-10 doors generating me income. Then start flight school.

Imagine what I'll learn if I spend 8hrs a day for a year analyzing deals? Right?

Looking forward to hearing your thoughts! 

Sounds like a plan.  Best of luck .  Just know your market really really well.