All Forum Posts by: Randy Mbouge
Randy Mbouge has started 1 posts and replied 17 times.
Post: I'm Planning to use $5000 cash to invest in Real Estate.
- Posts 17
- Votes 9
Thanks for the response. I'm also in a position where I'll use earned income as I'm investing in real estate. So as I'm earning the income, I'm investing as well. Thank you so much and I shall keep all of you posted.
Originally posted by @Chace Fraser:
@Randy Mbouge congrats on getting your license and planning on prioritizing wealth building! One of the great things about being an agent and investor is that you can expedite your learning. One reason I got my license was so that I could learn the ins and outs of real estate transactions. A few other reasons was so I could learn my market better, help people achieve their goals, and get into a business/industry that doesn't have an income ceiling.
I'm not sure of your prices in your area, but you may want a little more than $5,000 to start investing with. What happens when the hot water heater and HVAC system go out? Best to have ample cash set aside in reserves so you are ready to weather those storms WHEN they happen. Do a few more deals, save a little more money, and come get after it when you have a little more experience and cash.
In terms of reserves, having 6 months of cash reserves (calculated by multiplying the mortgage rate X 6) is a good place to start. As you become more experienced you can adjust that number. Putting big ticket purchases on a CC isn't a great idea...
Post: I'm Planning to use $5000 cash to invest in Real Estate.
- Posts 17
- Votes 9
Josh C.That's going to be my go to plan, to find either a duplex and or triplex and rent the other units out. Thank you for sure, I appreciate it.
Originally posted by @Josh C.:
@Randy Mbouge
That’s an excellent way to get started. You’ll learn a bunch and save probably 8-12k a year on rent payments. Highly recommend for a year or two depending on your family situation. I did it for a year and it was a great way to get the ball rolling.
Post: I'm Planning to use $5000 cash to invest in Real Estate.
- Posts 17
- Votes 9
Josh C.
That's going to be my go to plan, to find either a duplex and or triplex and rent the other units out. Thank you for sure, I appreciate it.
Post: I'm Planning to use $5000 cash to invest in Real Estate.
- Posts 17
- Votes 9
@Antonio Cucciniello thank you for that suggestion. I’m thinking if I’m able to find a duplex or triplex that I put 3% down on that would get me into my first investment property. And I was thinking about that too. Getting the first house and house hacking
Post: I'm Planning to use $5000 cash to invest in Real Estate.
- Posts 17
- Votes 9
I definitely appreciate your advice. That’s what I was thinking as well. And I thank you for giving me the paragraph and line number. I’ll keep you guys posted on what I do next.
Originally posted by @Matthew Rolf:
@Randy Mbouge not a ton to go off of, but if you're thinking about only using around 5k you'd be looking at buying a home with a 3.5% down payment FHA loan with a down payment assistance program when also considering closing cost. As you know, you can help yourself out with up front costs using paragraph 12 in the 1-4 Family Contract. In my experience most lenders also want to see 2 months of reserves minimum in your bank account.
Ok to your question...yes small multifamily is a great way to scale up, but for the very brief info you gave, it might make most sense to buy something like a 4 bedroom home and rent out the other 3 rooms to reduce your cost of living and possibly still make a little extra on top of that.
Feel free to shoot me a message if you want to talk about it anymore.
Post: I'm Planning to use $5000 cash to invest in Real Estate.
- Posts 17
- Votes 9
@Jose Serrano How could I be of assistance?
Post: I'm Planning to use $5000 cash to invest in Real Estate.
- Posts 17
- Votes 9
Good Afternoon. My name is Randy Mbouge. I'm a real estate agent in Houston, Tx. and I'm at a place in my life where building wealth is one of my priorities. My initial plan was to purchase a single family residential property with 3% down but I understand that more doors, creates an opportunity for more cash flow. So, I'm leaning more into owning a duplex or triplex property for my first rental property. I just wanted to see what all of you would do in my position?
Also that $5000 cash is just a tentative number. I can provide more given the numbers and deal makes sense. Thank you all. I am very grateful.