what would you do in my position?

[Mauricio Montenegro]

Hello

I am currently under contract on the sale of my Home and I am looking to make 45k in profit.The property is in Cutler Bay Fl.

Additionally I have about 30k in cash, total 75K .

My Plan was to buy multiple SFH under 60k each ( figure I could put 15k down payment on 3 or 4) in Columbus or Dayton OH, and use a property manager.

I currently live in Denver CO I'm under contract for travel work in the medical field until MAY, Soo I will be sitting on some cash and don't want it to sit in a savings account...

Any ideas on to what would you do in my case? my end goal would be to have enough rental income to quit my traveling job.

[Paul Amegatcher]

@Mauricio Montenegro

Study each market carefully before spending your money. Look for reviews of turnkey providers and property managers. Last but not least please do a physical visit to the area to verify what you are being told.

[Kathryn Daniel]

There are so many options out there especially since you are open to out of state investing. If it were me I'd buy a multifamily property. I feel that, generally, the returns are better there as compared to single family homes. 

[Jason Hendrickson]

What happens when your contract is up in May? Do you have another job lined up? Do you have money set aside to transition into a new job? Is the $70k all you have on hand (i.e. if you spend it you'll have $0 for any sort of repair/maintenance work)? I would not count on making enough in rental income from this scenario to quit your job, and most likely you'll be paying most of your rental income toward your mortgages and expenses.

[Tom Ott]

Originally posted by @Mauricio Montenegro:

Hello

I am currently under contract on the sale of my Home and I am looking to make 45k in profit.The property is in Cutler Bay Fl.

Additionally I have about 30k in cash, total 75K .

My Plan was to buy multiple SFH under 60k each ( figure I could put 15k down payment on 3 or 4) in Columbus or Dayton OH, and use a property manager.

I currently live in Denver CO I'm under contract for travel work in the medical field until MAY, Soo I will be sitting on some cash and don't want it to sit in a savings account...

Any ideas on to what would you do in my case? my end goal would be to have enough rental income to quit my traveling job.

 SFRs under $60k? They may need a lot of work or be in rough areas. I would look for properties around $75-$90k 

[James Wise]

Originally posted by @Mauricio Montenegro:

Hello

I am currently under contract on the sale of my Home and I am looking to make 45k in profit.The property is in Cutler Bay Fl.

Additionally I have about 30k in cash, total 75K .

My Plan was to buy multiple SFH under 60k each ( figure I could put 15k down payment on 3 or 4) in Columbus or Dayton OH, and use a property manager.

I currently live in Denver CO I'm under contract for travel work in the medical field until MAY, Soo I will be sitting on some cash and don't want it to sit in a savings account...

Any ideas on to what would you do in my case? my end goal would be to have enough rental income to quit my traveling job.

Four SFR at that price point it totally doable. Few tips for investing out of state.

• Don't buy in the roughest neighborhood in the urban core. Pick a solid B-Class suburban area. Perhaps a nice 1950's built bungalow.
• Always hire a 3rd party property inspector to give you an unbiased feel for the home. The reports are 40-90 pages long and go through the entire house in great detail.
• Get an appraisal. If your using financing the bank requires this. This is good. The bank isn't going to let you blow their money. They have more skin in the game then you do.
• Make sure you get clear title. If using a lender this is a non issue. They will make you do this. It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.
• Make sure your property manager is a licensed real estate brokerage.
• Understand you can not eliminate all risk, only mitigate it. If you are risk adverse real estate, (especially out of state) is not for you.

[Thomas S.]

I would strongly advise against SFHs and properties in that price range. They are more work than you can imagine and not for someone without the time and skill to manage.

I would advise investing in a multi unit in a much high price range that you can purchase with leverage. You have enough cash to get into a much higher quality property with far fewer management headaches. Use 50K as a 20% - 25% DP and use leverage to your advantage. Hold $20K as your reserve funds. If you can live in one unit of the property you can put far less down as owner occupied and purchase a larger higher quality property. More doors means more financial security. Do the number, leverage is the wise financial path to growing a business to success.

Having a PM des not mean you do not have to manage your investment.

[Mauricio Montenegro]

@Thomas S.Thank you very much for all the great toughts that had not crossed my mind yet.. im good with the job situation and no thats not all my cash . that is to invest/leverage . i defenetly agree that leveraging is the wayto go. Yes i am interested in out of state.

( for me since i no longer have a state to call home.. lol)

Once again thank you to All for your input

[Mauricio Montenegro]

@Jason Hendrickson still got $ and a job ... no problem there.. just want to expand my portfolio

[Caleb Heimsoth]

@Mauricio Montenegro I’d buy a duplex to get started personally if you can afford it and I’m guessing you can. Probably under 100k gets you a duplex

[Dennis M.]

@Caleb Heimsoth

Agreed don’t buy a sfh in this scenario