Advise for a "new" US investor with a high budget

[PJ Boxel]

After owning real estate in Spain for several years, i decided to sell my portfolio and come to the US to start my real estate investing journey here. 

I have been reading and listening to many books and podcasts as possible, in order to get as much information on the US real estate market as I could. However, I am not quite sure where to start or with which specific strategy..

I found my interest in the BRRRR-strategy and multifamily deals. I have a budget of a couple of hundreds thousands.. What would you advice to start with?

- Multi family with conventional loans?

- Multi Family Cash payment?

- Multi Family BRRRR

- Start smaller and start with single family or duplexes, etc?

- Single family BRRRR

I am currently living in the Netherlands, so I would need to build a very solid and trustworty team. I also assume that househacking is out of order?

I want to get the most out of my budget, as this is a one time shot. 

Thanks in Advance!

[Chris Evans]

@PJ Boxel Welcome to our market!

Ideally, one of the best markets to be in right now is Medical and Warehouse NNN on the commercial side, but the budgetary requirements for that are going to be more substantial.

Your lending options change based on the number of doors in the states. Single-family loans work for all 1-4 unit properties here. Once you have 5+ doors the loan will be classified as a commercial loan with higher interest and shorter amortization rates. 

For that reason, I'd aim for a 1-4 unit play. Interest rates are not favorable now, so if you come across a deal you can run cash, do it. You can always pull equity as needed by refinancing after a 6-month seasoning. 

House hacking isn't out of order, but it depends on how you use it. My wife and I have two duplexes next to each other in Alaska. One of the 4 units is ours, but we Air BnB it when we're not there and one side of the rent pays for the whole building. This setup allows us to get paid to take vacations to Alaska. 

I'd recommend starting with small, low-risk projects until you get a good crew in place stateside for your renovations and management. Then take on the riskier/bigger projects later once the trust has been built. Best to not risk it all on an unproven horse, so-to-say.