What type of real estate should a beginner work with?
I'd like to draw on the wisdom of other investors here and figure out what I'm most comfortable investing in at my experience level. I'm too inexperienced to have a solid grasp of what I'm getting into regardless of the property being invested in such as land, SFH, MFH, etc.
Of course I understand that there will be challenges and hiccups in any investment, especially a first time investment (that I am all inclusive of), but I would like to mitigate those risks.
If I found what I believed to be a good deal on a much larger property, I might consider it against a smaller investment. However I have no way of gauging if I have assessed risk appropriately, and I find that unsettling.
Of course I understand that there will be challenges and hiccups in any investment, especially a first time investment (that I am all inclusive of), but I would like to mitigate those risks.
If I found what I believed to be a good deal on a much larger property, I might consider it against a smaller investment. However I have no way of gauging if I have assessed risk appropriately, and I find that unsettling.
As of writing, I am primarily interested in SFHs, but are there investments that are just better across the board for beginners? Even purely for the educational benefit?
Many thanks in advance.
Most Popular Reply
@Scott Anderson keep it simple. Start with a SFR. Target properties with a "value add" component to them. Don't go for a full gut rehab. Start with a property needing cosmetic repairs (paint, floor, replace appliances, etc.) You'll create instant sweat equity