Military member looking to get starting in investing.

Military member looking to get starting in investing.

Cedar Hill, TX · Member since 2017 · 5 posts · 3 votes

I'm currently in the military stationed overseas and frankly this is not what I'm cut out for. I would love to get started in Real estate but I won't be coming home until late 2019. My wife and I want to get a multifamily home and live in one unit while renting out the others in order to take advantage of the VA loans 0% down payment since we don't have a lot of money to put towards a house. However, I don't want to wait another almost two years to get started. I have done a lot of research into this and I know I could make it work if I was in the States but unfortunately I am not. Do any of you who may have more experience have advice or recommendations on how I can overcome this huge starting hurtle?

A few answers to questions that I have seen asked on a lot of similar posts are:

Our end goal is to make at least $6,000 a month passively by the time we are 35, and live somewhere it doesn’t snow.

I do not plan on staying in the military, but obviously that could change depending on life.

I do know a few people who have a little experience in real estate and quite a few people who have extensive knowledge in every area of construction.

I am currently obtaining my bachelors in IT management and may get a job in that field to help fund this but I would prefer not to if possible.

Thank you in advance

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  • Investor · Pittsburgh, PA · Member since 2015 · 1k+ posts · 1k+ votes
    8y

    @Alek Truitt You have so many variables that it may be best to stay where you are right now till you are here and able to focus 100% on your portfolio goals. Its easiest to buy and manage properties that are close to you and you know the market well. Continue saving money and living below your means and when you are ready to settle into one area and have a long term vision then take massive action. Continue being a learning based RE investor. You will never stop learning and growing. 

  • Kerry BairdPro Member
    Rental Property Investor · Melbourne, FL · Member since 2011 · 3k+ posts · 2k+ votes
    8y

    We set aside all extra pays: combat, hostile fire, tax free, bonus payments...everything extra...as down payments for our rentals.  We bought our first house in the UK and lived in it while fixing it up.  We used those funds to buy two newly built rental properties in Texas, that we still haven't been inside.  We used the gains on our UK home to buy a rental house in the US, when we were posted back again.  We just got focused, knowing that we could live on very little during the early days in the military.  I am current rehabbing house number 31 or 32.

  • Rental Property Investor · Anchorage Kenai Fairbanks Korea, AK · Member since 2016 · 53 posts · 22 votes
    8y

    If you are familiar with a certain US market, consider keeping an eye on land or make offers on land not for sale in a growing or popular area. You will be amazed how many people don't like paying taxes on land they will never do anything with. However, understand the market rates to ensure you pay much less. Then wholesale land to get started. Low closing cost, less risk, less investment on your end but the area must support that model. I have done this multiple times in Alaska while overseas. All can be done on-line. Getting into investing while serving overseas can be done but you will expect to pay a little extra money in repair or renting it out just because your not local. Even when you have friends and or family, you need to compensate them for their support. If you can find a turn key place, with tenants already in it and it is already managed, and it cash flows...consider getting a personal loan, using your TSP for a loan, credit card advance etc for the downpayment.....if it cash flows only....Some markets a duplex is 250K, while others it is 129K...20% of 129,000 is not unrealistic using other creative ways to get cash. But it must cash flow after all expenses. There are deals out there, you just need to find it. Every market is different. Fix/Flip or fix and hold is not advisable under your situation. I have wasted allot of money in delays because I am not there so I advise waiting for that kind of investing and only go with turn key places already in motion.....best of luck...By the Way, 1-4 plex can be used for a VA loan so long as you or your wife owner occupy...

  • Lansing, MI · Member since 2015 · 301 posts · 149 votes
    8y

    @Alek Truitt - Thank you for your service my friend. We wouldn't be having this conversation without the freedom we're allowed.

    Like @Jonathan White said - maybe you can get a 2-4 unit with your VA loan and have your wife move into one of the units so that you meet the occupancy requirement. If she doesn't want to manage it you hire a PM company maybe until you get back.

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