First Investment Property - best financing options in high COL area?

[Alex Smith]

Hello everyone,

I am 29 years old and have a decent W2 income. However, I also have significant student loan debt. In the past 2 years, I have used my extra money to pay off student loans by interest rate. I am now at the point where my interest rates are <6%. I have decided that my money will be better spent on investing in real estate. I am interested in a single-family home to start off. The problem is I currently do not have enough for 20% down, especially in a high COL area in Connecticut. If I were to buy a somewhat distressed home, obviously renovations would add to that. What is the best way to finance this? Should I save up for 6 months - 1 year+ to come up with 20% down and reno funds? Is it worth putting <20% down and living in the house for 6 months with FHA? (This would add sig to monthly payments and limit cash flow). Any advice helps! Thank you