70K cash to spend. What would you do? Go.

[Patrick Yungck]

Simple question. If you had 70k sitting what real estate venture would you pursue and why?

[Ben Durwood]

Hey Patrick,

Lots of different directions you could go in, but this would be my thought process:

I would buy cash flowing investment properties and finance them using conventional 30 year fixed mortgages. So, if you have $70K and are putting 20% down, you can buy $350K worth of real estate. I would then buy cash flowing single family homes in middle class neighborhoods. I'd target properties in the range of $60K - $80K, would consider cities like Atlanta, Charlotte, St. Louis, Nashville, etc., and would try to find up and coming areas within those cities with low vacancy, low crime rates, and decent school districts. You should be able to afford at least 5 or so homes in that price range.

Plenty of other things you could do, but that's my 2 cents.