Where to invest in this market?

Question

Hey community. I have been listening to BiggerPockets for over a year now and feel like I have a nice little chunk of capital saved to get the ball rolling - however, given the volatility of this current market and my inexperience, I'm looking for advice for how to begin investing. I made some money with a window cleaning business that I've had for the past two years, but am considering going back to school and want to let that money grow while I'm studying. I've dipped my toes in a few different areas (stocks, metals, crypto) and have gotten some good returns, but the investments are fairly humble and I am diversified. Given the nature of the stock market, it seems like there is a lot to be made if one knows how to day trade effectively - but I am hesitant to throw too much around without a lot of experience. Also, my end goal is to invest in rental properties but the market is still pretty high and inventory in my area is very low. So I'm thinking that the best route to grow my money at this point in time is to continue investing in the aforementioned areas. I'm just looking to get a read for how others are feeling and what recommendations I might be able to get from those more experienced than me.

Thanks!

Ryan Hill · Answer

@Joshua Beneventi congrats on the wins you had in trading as of late. Definitely going to take you a lot more capital to invest in San Diego than another market in the US. If you're open to it, I would definitely look into investing out of state. Opens up an opportunity to find some properties you can get for sub 100k (not spend all your money) and with the opportunity to appreciate over time if you choose a strong market. There's also cash flow to consider as well, which is a lot of peoples number one decision maker.

Inventory is low in a lot of those markets with sub 100k but you can definitely find some good deals if you set up direct to seller marketing. In my opinion, the best way to get rentals at the moment if you're aiming for over 1%.