Cash flow strategy for beginners

[Ashwin Gudipati]

All,

As a beginner, how should I approach a goal of having 5000$ in Monthly cash flow?

If I do the math, I should be having 10 properties with a surplus of 500$ cash flow each for 5000$ overall cash flow monthly. Taking 300,000$ as the average home price, we’re looking at an overall purchase price of 3M$. Since I don’t have that much cash, I’d be going in for a conventional loan. Even with that I’d have to put 25% down which comes to 750,000 which I don’t have.

What are my options? Not sure if it matters but I’m on a work authorized visa.

Thanks,

Ashwin

[Tesho Akindele]

@Ashwin Gudipati in my opinion the best strategy to get started is house-hacking. If I were you I would look to get a duplex, triplex, or quadplex. Live in one unit and rent the rest. Because you will be living there you should be able to put a low down payment (around 5%). Live in that for a year then look for another househack opportunity the next year. You will be able to quickly add units without 25% down payments.