What is the best way to invest in 2024 for a newbie?

Question

Hi, I’ve been researching and contemplating on which area of real estate I should invest in. I came to realize that I am missing professional/ seasoned advice. I would like to know what is the best way to invest right now for a newbie in 2024?

Min Zhang · Answer

Hey Elda, I like starting in the Midwest because it's affordable and offers good cash flow. Following David Green's Core 4 strategy (realtor, contractor, property manager, and lender) gives confidence to invest anywhere. I focus on Columbus, Ohio, which has seen significant growth, especially with tech giants like Intel, Meta, Amazon, and Google setting up operations, driving up property prices and job opportunities. I also invest in Cleveland and Dayton. Let me know if you need assistance!

Ryan Cheek · Answer

Hey there!

Great to see you taking the first steps toward real estate investing! 2024 has a lot of opportunities for newbies, but finding the right area can definitely feel overwhelming. From my experience, starting with long-term rental properties is a smart move, especially for those looking to build wealth steadily over time. Multifamily properties, like duplexes, can be particularly appealing because they allow you to live in one unit and rent out the other, which helps with covering the mortgage while also generating income.

Another option is to invest out-of-state in markets where property prices are more reasonable but still offer great cash flow. For example, Indianapolis is a market that’s been attracting a lot of attention from investors lately because of its affordability, solid rent returns, and growing population. I work with new construction duplexes in Indy that are a great fit for investors looking for turnkey options without the headaches of major repairs.

Feel free to reach out if you'd like to chat more about how to get started in 2024 or explore some out-of-state options. I’d be happy to walk you through what’s worked for me and others starting out.

Best of luck on your journey!Ryan Cheek

Brian Kloft · Answer

There is no one best way to invest in RE. It is more of what fits you and your personality and what gets you excited. With that said, for someone young and just starting out, needing to figure out all of those items; my go to answer is some form of a house hack. That can be renting out rooms in a house to buying a 2,3, or 4plex and living in one of the units while renting the others out. The loans on a house hack are going to be some of the most favorable ones you can get since it is considered an owner occupied plus you should be able to get a first time buyer bonus of some sort.

Samuel Diouf · Answer

I'd say house-hacking is one of the best ways to get your foot in the door of investing. You’re able to learn the basics of a real estate investment with lower risk and build equity at the same time. Being able to enter a property with only 5% down means you can leverage your money way more effectively as well. When you leverage money personally, I think it makes more sense to invest in appreciating markets

Jimmy Lieu · Answer

Hi Elda, there are so many strategies you can try. I started with house hacking when I moved from Portland OR to Columbus OH and then moved on to purchasing my own rentals and growing my portfolio to over 7 figures. The key is to find a market that has great macroeconomics just like Columbus OH. Anything you purchase here now will appreciate like crazy because of various economic drivers - population growth, job growth, and major companies moving and developing here like Intel, Meta, Google, Amazon, etc. My out of state clients are successfully BRRRRing and flipping here and are purchasing deals at a very cheap price point. Happy to connect and answer any questions you may have.

Elda Asheley · Answer

Thank you so much for you advice!

Jakob Mikhitarian · Answer

As you will come to find out, there are so many different avenues of real estate you can invest in. My recommendation is research them all, go to local meetups, and find what you're most passionate about and what you're best at. Narrow it down to one niche and become subject matter expert in that field. That's what I'm trying to do at the moment because I am relatively new in this field. For example, I've taken into account house hacking, SFH investing, multis, STR, co-hosting, wholesaling, and syndications. There are a lot more option out there but find what works best for you and become an expert on the topic and dive in. You got this!

Adam Bartomeo · Answer

Don't invest in STR's...

Elda Asheley · Answer

Thank you for that advice!

What is the best way to invest in 2024 for a newbie?

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