Starting Capital for Real Estate Investment

[Daniel Afonso]

What would you say is the starting capital needed to sustainably invest in real estate? I feel like thats the first thing I need to know in my planning. What was your experience with this? Is it wise to use loans to start? Please let this newbie know as much as you think is important!

[Jonathan Greene]

Most people are looking for a save to number when they ask this question. Just as a general number, I think 50k in funds that you can tap without emptying your whole account or jeopardizing your family's future plans, is viable. That would include downpayment, reserves, and honestly that would be very light, maybe for a property 300k or under. If you are house hacking or low money down owner-occupancy, that helps.

I also agree with @Chris Seveney, it depends what you want to invest in. If you want to flip land (you need to learn first) you don't need a ton of reserves. If you are buying a house of any kind with mechanicals and roofs, you need reserves.