Utilizing my 529 Plan to get started in Real Estate 🏡 🔥

[Liam Nichols]

Hello, my name is Liam Nichols. I am 20 years old, and a freshman in college. I have been committed to investing in Real Estate as my main form of building wealth since realizing its wealth building powers a few years ago. To say the least I have been educating myself about real estate for some time now, I also have been working as a contractor and have shown some apartments for my real estate "mentor". I have a plan to use my 529 plan to help me get started. 

Im here to ask for advice, and to hear what people have to say about my current plan. Here is the plan. 

1. I plan to find and vet a small and cheap single family home that would cashflow in a traditional real estate buy and hold method (find a good deal). 

2. I will then find another investor and buy the property as a joint venture under these terms. They will put up the 20 percent down payment and take the title of the home. I will then utilize my 529 plan to pay rent to them. This will cover the mortgage payments. all of the additional expenses I will cover out of pocket (escrow account). This will build my equity in the property for the next three years while I attend school. a good estimate would be $24k/year x 3 = $72k equity.

3. When I am done with school, we will refinance the mortgage, pull out all of my joint ventures principal payment plus an additional 10-15 percent for them to keep as a term of the deal. After that we will transfer the ownership of the property to me, then I will rent it out and I will own a cash flowing property right out of college. 

Any thoughts? The more constructive the better!

Thanks