If this were you, what would you do?

[Carissa Holmes]

If the below was representative of you & your position what would you do to take full advantage of the inherited capital and launch your REI business?

• - Recently inherited roughly $250k
• - Long-term goal: Passive cash flow of $5k per month from buy and hold investments. With a balanced portfolio of high cash flowing properties & high appreciation properties that also cash flow)
• - Primary residence is in Austin Tx
• - Very attracted to the BRRRR model
• - More than willing to invest out of state. Will not invest out of country (yet :))
• - Capable of and would enjoy doing the majority of the rehab work if the property were in or close to Austin
• - Obtaining a mortgage likely not an issue given W2 income, credit score & DTI
• - The only market with applicable relationships (to help until a reliable team is established) is in Jacksonville, FL
• - Have 20 - 30 business hours and 10 - 20 outside of business hours per week to dedicate to this effort(s)
• - Have been learning REI like a machine for the last 6 months and ready to move on 1st deal now
• Thanks in advance!

[Greg Scott]

@JD Martin  2%?  I think you calculated the $5K as an annual return.  To get to $5K per month she needs a 24% cash on cash return, so REITS are out.

@Carissa Holmes Austin is a tough market right now since prices are high, but not sure why you would immediately go out of state.  Texas has many great markets for both single family and multi family investing.  I own property from Temple to Sherman.