500k for Portfolio offer or small apt complex or First 4-plex

[Rene M.]

Hi all,

I have a family member who entrusted me with 500k to invest in US real estate. I have an offer to buy a 1% Rule 4-plex (385k for 3800 monthly rent), which would use about 95k of the money and leave me with 405k.

I think it would be a great property and long term investment, but am hesitant to reduce the overall cash to be still able to offer on Portfolios and/or a small apartment complex...

I think it would be possible to use the remaining 405k to buy another 16 doors in different local areas and build my own 20 door portfolio. Or do you think it would be more leverage to keep the 500k together and make offers for 20 - 30 door portfolios or apartment complexes?

What do y'all think? What would you do?

Thanks in advance