Life Advice - Beginning My Real Estate Journey

[Christopher V.]

Hello all,

First of all thanks for taking the time for reading this. My name is Chris and I'm 26 years old, currently living in the NW suburbs of Chicago, IL. I recently got engaged, so I'm at that point in my life where things just got a lot more serious. I'm looking to get some life advice from some of you that have been there. Looking at my current situation and having the knowledge and wisdom from your experiences, please offer any advice of what path I should take next or what investments would be smart for me to make. I understand there are several different investment routes I could choose from, however, I just want to know which path YOU would personally take at this moment.

W-2 Gross Income: $100k+ (including fiance's income)
Credit: 785
Current Savings: 20k
Debt: $0
Living situation: At home with parents while we prepare for the wedding ($0 rent)

If you need any information on NW Chicago suburbs/city neighborhoods, I have a pretty good knowledge of the area. Feel free to reach out!

Thank you,

Chris

[Aaron Vaughn]

Hi Chris! Congrats on getting married! Pls check out my profile and see if we are a good fit to work together.

[Jeff Burdick]

Originally posted by @Christopher V.:

Hello all,

First of all thanks for taking the time for reading this. My name is Chris and I'm 26 years old, currently living in the NW suburbs of Chicago, IL. I recently got engaged, so I'm at that point in my life where things just got a lot more serious. I'm looking to get some life advice from some of you that have been there. Looking at my current situation and having the knowledge and wisdom from your experiences, please offer any advice of what path I should take next or what investments would be smart for me to make. I understand there are several different investment routes I could choose from, however, I just want to know which path YOU would personally take at this moment.

W-2 Gross Income: $100k+ (including fiance's income)
Credit: 785
Current Savings: 20k
Debt: $0
Living situation: At home with parents while we prepare for the wedding ($0 rent)

If you need any information on NW Chicago suburbs/city neighborhoods, I have a pretty good knowledge of the area. Feel free to reach out!

Thank you,

Chris

 Hey Chris.  Congrats on getting married.  I am an investor on the north side of the city.  

[Crystal Smith]

Normally when I'm asked this question my 1st response is how much debt do you have or what are your monthly expenses.   Knowing this you can then set some investment goals.  But given that you have no debt I recommend you develop a plan focused on creating between $12K & $13K per month cash flow to replace your current income.  Then evaluate how quickly you want to hit the goal & what investment strategies you feel comfortable w/.  You can quickly eat into $20K savings so your evaluation should also include what kind of capital is really required for your plan to work.  

When we got started years ago our plan, w/ the type of savings you have, was to flip lipstick properties then use the profits to purchase cash flow properties.  Lipstick meaning didn't need much work.  We used our reserves for loan payments & surprises.  These type of properties are hard to find now but....

[Christopher V.]

@Crystal Smith I really appreciate your insight. Focusing on replacing my current income is definitely the goal. I see you're located in Chicago. The market around here seems to be a bit airtight at the moment. Would you agree? Or are there certain areas you're having success in that I should look into? As far as capital goes, that 20k will last about 30 seconds if the right property comes along. Do you have any advice on how you'd go about securing more funds from lenders? Thanks again!