First Time Home-Buyer/Investor

[Kathleen LaRue]

I'm 25 years old and looking to buy my first home which I intend to be my first investment as well. I'm trying to decide between a fix and flip a single family home (holding the property for a few years - in hopes of the home's value appreciating), buying a duplex/ something with an extra suite to rent out. The former choice seems more affordable but with less reward and the latter is more expensive but would generate passive income on top of adding value through some small renos.

Thoughts?

[Frank Robinson]

Hi Kathleen, one way to decide would be to run the numbers for both scenarios.  Although you might not have exact numbers ... ballparking based on properties in your area should still be helpful for you.  Do you have a good sense of how your market is performing (ie demographics - are people moving in/out, are jobs stable, any gentrification in progress, how are rental rates and vacancy rates trending).