What is the best way?

Question

I don't have any real estate investment experience, and I want to start immediately a first deal.

The situation is:

- I have only two months to apply for a mortgage up to $200k.

- I was thinking to buy an apartment and rent it out, but I found out there are many different ways to invest such as short sale, foreclosure, fix and flip etc. I need your advice to get the best out of it.  What would you do in my situation?

Your suggestions would be greatly appreciated.

Eleonora Grynivetskaya · Answer

Thank you so much. It makes sense.

Michael Lauther · Answer

@Eleonora Grynivetskaya  If your father only qualifies for a $200,000 mortgage and you live IN NY city, that will mean you will need to invest out of state or at least upstate . Being a new investor, and having to look out of state or long distance into markets that you don't have time to get to know is a recipe for disaster. Adding leverage to the equation makes it even worse. If you plan to  take the 200k as an equity loan as a down payment on a NY property you are inviting a bigger disaster. Please learn more before you squander your fathers money.

Steve Smith · Answer

@Eleonora Grynivetskaya Welcome to BiggerPockets the Best Real Estate site on the web.

You will find a lot of great information along with good and knowledgeable

People that are willing to answer any of your questions.

Be sure to check out the“Learn tab above” and be sure to listen and follow

the “BiggerPockets and the  #AskBP podcast. You can sign up for the

new BiggerPockets free Real Estate Courses, as they become available

Make it Happen

Steve

Eleonora Grynivetskaya · Answer

Thank you very much for the suggestion, Nicole. I have started to learn, but it takes time to understand every aspect. I am not qualified for a mortgage,  my father is. But his employment contract in the USA will end in 2 months and we will lose an opportunity for a mortgage.

Nicole B. · Answer

I suggest that before you jump in, you learn as much as you can about REI.  This can be a risky business and you don't want to get stuck in a situation where you can lose your money.

There are plenty of book recommendations, podcasts, blogs, etc available on this website.  Just put what you're looking for in the search and go from there.

Good luck