Guidance Starting Out

[Adam Berlinberg]

I am looking to get started in real estate investing, and looking for guidance. I am not looking to replace my regular job, but rather long term growth with shorter term cash flow. I am lucky that my wife and I do well, with an average income of $500-600k. I am in one very solid commercial syndication right now. I have about 75-80% of my investments in the stock market in one way or another and looking to diversify. We have a primary residence with around $350-400k in equity and no plans to move. I have around $60k in the bank right now, but could get that quite a bit higher if needed over the next few months. HCOL area that is difficult to find cash flowing rentals. Out of state rentals? Multifamily? Stick with commercial syndications? My thought is start building a portfolio of single and multi family rentals (probably out of state just because I'm in one of the hottest markets), and just grind by adding. I think I could do 2-5 houses a year with savings. Keep scaling up aggressively? Tap into our home equity for more of a jump start?

[Engelo Rumora]

Quote from @Adam Berlinberg:

I am looking to get started in real estate investing, and looking for guidance. I am not looking to replace my regular job, but rather long term growth with shorter term cash flow. I am lucky that my wife and I do well, with an average income of $500-600k. I am in one very solid commercial syndication right now. I have about 75-80% of my investments in the stock market in one way or another and looking to diversify. We have a primary residence with around $350-400k in equity and no plans to move. I have around $60k in the bank right now, but could get that quite a bit higher if needed over the next few months. HCOL area that is difficult to find cash flowing rentals. Out of state rentals? Multifamily? Stick with commercial syndications? My thought is start building a portfolio of single and multi family rentals (probably out of state just because I'm in one of the hottest markets), and just grind by adding. I think I could do 2-5 houses a year with savings. Keep scaling up aggressively? Tap into our home equity for more of a jump start?

Hi Adam,

I've always been a real estate guy but exposed my personal portfolio quite heavily to a regional bank ETF.

I guess time will tell if I'll be a "Hero" or "Zero" lol

Come on you Fed and reduce those rates 😁

Real estate is and always will be my bread and butter tho.

You can't beat the safety of a "brick and mortar" investment per se.

My best advice would be if you are going to go down the path of investing in out of state rentals to have a growth mindset.

Buying 1 or 2 isn't worth the risk or hassle and you might as well invest in your own back yard.

10+ years in the industry and my most unsatisfied investors are the one's that build smaller portfolio's.

If a property goes vacant and takes a few months to get it back performing, with a small portfolio that could impact cashflow of 30-50% for that year.

Our investors that own 7,8 or 10+ properties, don't even feel it if 1 or 2 go vacant.

Just my opinion and wishing you much success