Best path to buy property to HH with WFH job

[Mario E Gonzalez]

hello all,

i recently landed a WFH job and have around 100k capital for down payment and other closing cost. No debt and live with fam in north jersey.

i am not interested in NJ investing as this state wont ever cash flow unless some basement rental or off market deal that is very good.

my options i see is either the following

1. buy in PA to HH then move back home to fam and repeat the process slowly buying single with adu or duplex per year putting down 10% down

2. move to NC/TN a place i never been to but according to the data is nice and growing, hitting all the right points for growth. Buy a 2 unit or single with adu, rent out the rooms out on airbnb to help pay for itself.

im looking for physical real estate ownership non of this REITS stuff or partnering up deals or hard money lender bull.

looking for a solid plan where i can come out with 5 to 7% cocr AFTER putting aside 10% PM,5% Vacancy, 10% for both capex and repairs. 

[Chris Davidson]

@Mario E Gonzalez while HH is a good way to start if you have no expense currently for you living and it is going to stay that way it might not be the best opportunity for returns. You can always just invest OOS and hit your returns. If you are looking for COCr look into lower down loans @Grant Schroeder has a 10% down investor loan I have helped clients with that gave some good CoC returns. Look at your skill set and see what fits you best, or what skills you need to improve to reach your goals.

If you are looking at HH and want to go that route go for it, but moving to a entirely new area comes with a different set of challenges both social and networking. While the returns may be better your expenses else where may increase. Make sure you want live there before buying.

Also really look at your numbers. 10% capex on a newer build you only plan on keeping for 5-10 years may be more than realistic while 5% vacancy may be too low. Use numbers that correspond to the property.

Best of luck and way to take action!