Military member looking for long term wealth not cash flow

[Joseph Philbin]

Hello,

Here is my current situation. I am an army reservist after 8 years of active duty, and a full time police officer on long island. I have full use of any veterans benefits I can find. I'm looking to start building a portfolio of rentals so that I can have a nest egg for my wife and son. I'm looking for some advice on how to start. Thanks

[Stuart Grazier]

@Joseph Philbin Creating long term wealth is established through creating cash flow. My recommendation is that you ONLY buy real estate that has positive cash flow, don't buy real estate solely for appreciation. I have two recommendations:

1) Use your VA loan to buy a multifamily property (2-4 units). Live in one unit and rent out the other units. This will minimize your cash out of pocket (zero down loan) and maximize your arbitrage (ie leverage) while your renters pay your mortgage for you.

2) Find a better cash flowing market than New York (look in the Midwest or Southeast) and start buying more rental properties. You can either build your own team if you have people that you can trust that are boots on the ground, or you can go with a reputable turnkey real estate company. 

Let me know if I can help in any way. Good luck!