Ideal rental markets for a beginner.

[Account Closed]

Hi all,

As the title implies, I am looking for advice / opinions as to what areas you would consider ideal for a beginning investor. I am a 26 year old Airline Pilot based in Denver, CO, with about $35K available to use on my first property, and excellent credit. (Ideally would use as little cash as possible). Although I consider myself priced out of the local Denver market, my career provides me with the unique perk of being able to travel wherever I want, whenever I want. I have heard that the Dallas, Grand Rapids, and Jacksonville areas are hot for investors right now, but I'd like to learn how to identify areas that would work well for a beginner who is willing to invest out-of-state. I have a long road ahead and a stack of books to read before I consider making any serious moves, but any insight (no matter how small) would be appreciated. Thanks in advance.

Ryan T.

[Jerome Morelos]

Ryan Tatnell Hey Ryan. I recommend house hacking as a good way to start. You use an owner-occupied 3.5% down FHA loan to purchase a small multi-family property (2-4 units) while renting out the other units. You are basically living for free while learning how to become a landlord. After one year, you could move out, rent your unit out, refinance, and repeat. As a beginner myself living in California where prices are high, house hacking is what I plan to do to acquire my first property. Hope this helped!