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Updated over 8 years ago,
What would you do with $25k?
At present I own one rental property in Florida that cash-flows about $450/month. I recently flipped a property in North Carolina that netted me about $25k. I'll be moving to Philadelphia in three months and would like to increase my efforts at building wealth through real estate. In any case, I intend to complete 100% of required repairs myself minus roofing, carpeting, windows, and siding...I have experience with just about everything else. I'm comfortable with flipping properties and BRRRing properties, although I've never wholesaled a property. In the past I financed all repair expenses on zero-interest rate credit cards, it worked well, and I intend to use that technique in the future. My questions to the group are as follows:
-If you had $25,000 to distribute with the intention of aggressive capital growth, what strategy would you use? Flipping? Holding? A combination of both?
-Would you initially focus your efforts on one property or seek out multiples?
-What strategy would you use to best leverage the $25,000 on hand? A single down-payment on the first flip? Multiple down-payments with a HML? Would you seek a HML with the intent to refinance or begin with a conventional loan?
The intended areas are Kensington, Brewerytown, or Port Richmond, although Germantown is on the table as well. I know there's no right answer but I'm interested in hearing some opinions!
Thanks,
Matt