How would you invest $30k a year of free and clear income?

24 Replies

Curious on people’s strategies on what to do with about $30k a year in disposable income to set yourself up to have a nice retirement.

Most jobs don't offer very attractive savings plans or pensions anymore.

Originally posted by @Jermell Shavers :

@David Abbate 30k a year disposable is what i read. Maybe I misread but to me disposable means you have it set aside and ready for it to go.

Right- with 30k per year to invest with, where is he supposed to find a cash flowing multifamily property that is not in the ghetto.

 

@David A. . Saint Louis is more than the perfect spot. Plus I’m sure he isn’t gonna live there it’s an investment and Saint Louis is a good place that’s where I do my investing at. Find you a nice four plex in Saint Louis.

Saint Louis is an awesome place to invest very big cash on cash return. With $30k you can buy about 12 units @ $650 each. Once occupied it’s $7,800/ month and $93,600/ year in theory. Well at least that’s what I’m doing. It’s a no brainer. 

Saint Louis is an awesome place to invest very big cash on cash return. With $30k you can buy about 12 units @ $650 each. Once occupied it’s $7,800/ month and $93,600/ year in theory. Well at least that’s what I’m doing. It’s a no brainer. 

Originally posted by @Andrew Neal :

@Dennis M. Where are you finding duplexes for 30k haha

On the mls . They are here everyday dozens of them for 30k with paying tenants already in place . Heck I've bought triplexes for not much more

Originally posted by @Michael P. :

@Dennis M. Erie makes the list for unhappiest, most drunken cities in America Lolol sorry I just googled Erie and thought that was funny

...sounds about right! I invest in Erie which I refer to as 'The Dirty E'. I grew up there and went to school there. I'm currently painting/repairing a 2nd floor unit in Erie and yesterday the 1st floor tenant was standing on the front lawn screaming obscenities at her kids. And last week the guy next door was screaming and having a meltdown over someone in the house (wife or kid I assume). So the unhappy factor is in full swing.

Properties in the city of Erie are so cheap that investors/people who have an invested interest in an area are buying properties and making entire streets nicer. An example would be I have a 4-unit on 8th Street and a nearby bar owner is buying up properties nearby, making them nicer and is getting rid of the riff-raff.

What's cool is I'm planning on moving to Columbia, MO (from L.A.)- what's neat is it's 2 hours from KC and St. Louis (which was mentioned). I don't know those two markers well but I look forward to learning about their larger multi-family properties. I spent a bit of time in KC and liked it. Reminds me of a Midwest version of Pittsburgh. I really liked Columbia a lot - my kind of people. 

Drunken .. yes ..Unhappiest .. I don’t know I’m usually happy on the first of the month there lol I would never want to personally live in Erie but I’m a country hick . Probably wouldn’t see deer grazing in my backyard like I did this morning in mine . Maybe instead I’d see empty beer bottles a couple old dead hookers but that’s about it .

I would invest in mortgage notes or private lending. You get great yields and better control over your money, and should you have to foreclose, you are safe as long as you gave yourself enough equity, etc. By far my favorite strategy - and no tenants or property managers.

I have one borrower right now, chronically paying late, so the rate jumps from 10% to 16.99%. We keep making so much in interest because they cannot pay on time! It's pretty funny. And beats all my rentals!

Are there any hipster areas of St Louis as in have arcade bars with pinball machines, lots of trendy bars, etc.? These are the areas rents tend to skyrocket. I have never been to STL so just curious.