$160K Cash to invest

10 Replies

Hello to all. Brand new here and I have sooo many questions.
I have $160K cash in hand that I am interested in buying one just one property and rent it and eventually have my daughter live in it.

Any suggestions will be much appreciated.

Interested in Colorado, Las Vegas NV, or Myrtle Beach, SC

Hey @Suzet Avimeleh That's great, and I'm happy to hear you have a plan for it already.

First step would be to lock in the exact market you want to be in, then build a solid team in the area (realtor, property manager, lender, etc.). They will help you identify a solid cash flowing property.

During the mean time, you should be learning as much as you can about the rental game, so you know exactly what you get into and how to identify a cash flowing property on your own.

Hi Suzet! I am a realtor in the Myrtle Beach area. Investment properties are very affordable here. I'd love to help in anyway I can. I would suggest getting set up on an MLS search to see exactly what's in your price range. I would be more than happy to do that for you.

Originally posted by @Jake Stuttgen :

Hey @Suzet Avimeleh That's great, and I'm happy to hear you have a plan for it already.

First step would be to lock in the exact market you want to be in, then build a solid team in the area (realtor, property manager, lender, etc.). They will help you identify a solid cash flowing property.

During the mean time, you should be learning as much as you can about the rental game, so you know exactly what you get into and how to identify a cash flowing property on your own.

 Thank You Jake. I guess the hard part is to identify the market. I would love to stay in Colorado, unfortunately prices are in the sky. I am looking.

@Suzet Avimeleh You first need to narrow down your search to the market you want to be in. Once you have done that, you find out the average price homes are selling for. If you want to be in a good area here in Vegas, the average price homes are selling for is almost $300k. $160k might get you a mobile home out here. Or you can always put down a down payment and finance and then you won't have to spend all of your money. 

Thank You for your advice. I guess Las Vegas is out of the question. Where do you think there is more return for your investment??

I am not looking into fix and flip or fix and hold business. All I want is buy just one property and rent it. So instead of sitting in the bank without doing anything, at least I can get something in return.

It won't cashflow as well but you'd be better off with a partial mortgage if you qualify.

Using the Las Vegas example, you can but nice houses once nice neighborhoods for $270k that will rent for $1300-$1400. 

Either put down $160k on one to play it safe or $80k on each of 2. 

$110k at 5% for 30 years is $590, add $100 Managment, $120 taxes, $50 insurance and $55 Hoa. Is $915/mo. Cashflow of say $400/mo is $4800/year plus $1600 loan Pay down is $6400.

That's only 4% but but you'd have depreciation of of over $7k so it would be tax free. And each year returns would go up from increased rents and principle pay down

I know there are better returns to be found but these are zero income tax, less than 10 year old, stucco sided, tile roofed, almost zero maintenance properties with no snow  

There are certainly decent houses available for a little less, or houses not in hoas, both of which would increase cashflow and returns but I was trying to give you lowest risk as I saw it  

But you said daughter was eventually going to move in to it. if that’s a big part of the plan where does she want to live?