Seeking advice...ultimate goal is to have over 30 properties

[John Burtle]

I'll try to get to the point.

I use to work for an investor when I was younger. Ever since then I've wanted to get into real estate. I never acted because I also wanted to become a police officer. I focused most of my life on reaching that goal. I'm now 29, and I've been a police officer for almost 4 years now. I work in a small town, so I don't make much. 38-40,000 per year. I do have student loans, which will be forgiven in 7-8 more years as long as I stay in law enforcement. I pay a percentage of my salary per year on the loans. I have some credit card debt, which I'm working on paying off. I'm 1,900 in the whole with the credit card. I have a truck that I owe 26,000 on. I've had it for almost two years. I'm currently renting a house. 

What I'm wanting to do is get my credit card paid off in the next 5-6 months, refinance my truck in March of 2017, and buy a house in April/May of 2017. 

That's where I'm torn. I imagine I won't be able to spend more than 80,000 on a house due to my DTI even after the credit card is paid. My student loan debt is 32,000 and banks have been telling me they can't base a mortgage off my current payment. They have to figure my payment as if I was working a normal job and had to pay the whole loan off. Which I understand. So, I'll probably be capped at 80,000 max.

At the same time my ultimate goal is own over 30 rental properties in the next 15 years. I want to retire from law enforcement in my late 40's. It's a rough career and it's just not like it use to be. I won't get into all that though. Mid 40's I'd like to get out and live off the rental properties, and I'd like to get into actual house flipping once I get out of law enforcement. 

The problem is I'm not sure how to go about buying my first home with my long term goal in mind. Does anyone have advice? I know I'll need 20% cash to obtain a mortgage for a rental property regardless of what I do. Just not sure how to get started. I have to be out of the house I'm currently renting no later then September of 2017 due to the fact the owner is moving back into it. I'm just trying to get everything lined up. As far as investment properties I could go 3-4 years with no profits since I can live life off my full time job salary. I could sit back and let the rental properties build profits etc...

Anyway....some advice would be greatly appreciated, and sorry for the long story. 

[Justin Harris]

Hey John!!
I know right now it seems like your goal is pretty far away but keep your head up and you'll be there soon enough. I would just like to share my story with you because I believe your situation is similar to mine. I officially closed on my first home last year on August 28 2015 at the age of 26 years old. One day away from my birth date. That year and the year before I made around $38,000. At the time I owed over 57,000 in student loans, $3000 on a car loan, 2000 in credit cards. Instead of waiting to pay down my balance on the credit card I just got a new one. Doubled my credit limit which shot my score up 30 points or so. I now had a beacon of 709. I went through several banks, around 5 to be exact. I finally found one that approved me for a house up to 135,000. I then went shopping. I probably looked at around 100 houses before I found this beautiful 3 bed room 1.5 bath with a double garage for 31000. That's right 31000.... It was a forclosure property, and with the bank that approve me we did a renovation loan (conventional) for a total of 60,000 including all repairs. The house appraised for 102,000. To get the loan I had to live in the house for a year but only had to put 3.5% down. I currently rent two of the bedrooms out for a $100 profit a month while I still live there.
There's always a way to go. Doesn't matter how many people tell you no. The bank I used was prime lending if you want to try them. Let me know if you have any questions! I'd be happy to walk you through what I did and even warn you about what I should have done better.