How can I invest without being an accredited investor?

[Billy Guthrie]

I have $10,000 sitting in the bank. I listed to several of the podcasts and the company sharestates kept being advertised with a minimum of $5000 to invest. I looked into their website and it states I need to be an accredited investor. I'm currently in the military and don't make the money nor have the assets they require to be accredited. Are there any recommendations besides having my money sit in the bank? Thanks!

[Stuart Grazier]

@Billy Guthrie Like David said, if you haven't used your VA home loan to buy a personal residence, that should be step 1. Depending on your location, you could possibly buy up to a 4 unit property. This will require very little of your own money since the VA loan is a zero down payment loan. The house-hacking strategy is to buy a property and rent out the other rooms and/or other units if you buy a 2-4 unit property. This allows for your renters to basically pay your mortgage for you and you live for free, or even make positive cash flow.

As far as trying to invest in syndications, you'll have to start networking more and find those that are looking for nonaccredited investors for their deals. They are out there, you just have to network and connect with them first; the SEC requires that you have a pre-existing relationship when you are investing into a syndication as a nonaccredited investor. 

Another place that I actually store some of my money to keep it working for me is the American Homeowner Preservation Servicing Fund (google it). They offer very good returns with a minimal investment and you do not have to be accredited. This can be a good place to invest while you continue to store up more cash. 

Hope that helps. Good luck!