How can a 20 year old invest $300000

Question

Hey, so I am a 20-year-old studying real estate and finance at college so I kinda have an idea of what I want to do but not quite sure. I was looking to diversify my investments some Mutual Funds/ETFs and real estate preferably a duplex, triplex, or quadplex in the south Florida market, I was looking to find properties in an opportunity zone so I can gain the tax benefits, but I am open to properties outside of that. Also keeping some cash reserves for emergencies. But the dilemma is how do I invest if I'm a college student with little to no credit, I want to take advantage of the low-interest rates so I can leverage, however, during these times banks are getting very tighter or stricter on loans so how do I find a reasonable lender who can trust in me.

Bobby S. · Answer

My best advice would be into some form of housing as your first investment. The housing shortage in all of America has strong demand. Look for deals that will provide immediate cash flow, ones that have space for you to add value, re-stabilize them, and then re-finance, pull some cash out and move on the next project and keep your initial investment. This formula will keep your wealth growing and the portfolio expanding. Take your time, do your homework, and don't rush anything. If you have questions, ask anyone in the business. I'm always available as well.

Jose Petitfrere · Answer

@Bobby S. Definitely helps, it’s savings so how would I go about investing that?

Bobby S. · Answer

Your head is in the right place Jose but opportunity zone investments come strictly from capital gains income and not from traditional savings. The purpose of the program is to get private capital off the sidelines and invested into distressed tracts in the US that are being undervalued and underdeveloped.

Not sure if the 300k is capital gains income or just savings, just wanted to clarify how the Opportunity Zone investments work. If it is in fact capital gains income, you have a certain time allotment to get that money deployed into a QOF (Qualified Opportunity Fund). Hope that helps.