Buying my first home Denver. $100k saved

[Andre Bertoncin]

Hi, im 34, married w/ 2 young children. My wife and i have 100k saved. We are currently renting in San Diego, CA. We are looking at Denver to start our real estate portfolio. My end goal is to have financial freedom in 10 years or less by bringing in $10k/month. Options ive looked at are the Burrrr method, house hacking with fha living in the property for a year doing small upgrades and forcing appreciation refinance then rent and repeat that every year until we reach our goal. I could really use some help or insite on the Denver area. Or what some of the more experienced investors on here would do with my current situation. And i really just want a base hit, i dont want to wait for a home run deal. Id like to get in the market and learn more as i go through experience. Apologies if i dont know what im talking about. Open to help and guidance. Thank you

[Jason Wray]

Andre,

First off congrats on making the move out of CA and into a more accomodatinng state like CO in terms of Taxes, Home prices, and future to build a sucessful REI portfolio. Starting with a $100K headstart is more than a enough to buy a new primary home. My advice is dont put so much down and instead buy a Primary and an investment rental all in one step.

May sound crazy moving into a new state and also buying a rental but your already way a head of most investors.  Now most people in CA do not feel $100K is a lot but to the rest of the US its a big chink of change.  Unless you have a specific monthly target for your payment you can spread that out to make it a Win/Win.

There has been a lot of growth in Denver over the last 2-3 years and new builds as well I just closed on a home for a customer in commerce city they also moved from CA and needed a fresh start.  Home was nice 4 Bed 3Bth under $550K with a decent size lot/yard and it only required 5% down as a New primary.

Now I am not sure how big of a home you need but as you can see $100K covers much more in a scenario like that one above.  Either way its good to buy end of year as most builders and sellers are offering seller credits or builder credits to use towards closing costs or to buy a rate down to help get a lower payment.

Even if you wanted to buy a strater home like a 2-4 unit as a primary again you only need to put 5% down.  great thing about that is you can move in less than a year and simple turn it into a rental with all units and buy a bigger primary once you have been there a while and know which area might fit better for you and your spouse.

If you ever have any questions about Denver or in fgeneral even if you want to talk strategy or options feel free to reach out.  I enjoy helping Bigger Pockets members and teahing all the loopholes I have found out over the last 18+ years!