Start out advice- Should I get into this?

[John Perez]

Hello BP forums and Happy New Year. I want to invest in real estate, but I don't know if at this point in my life I can realistically get into it. I am currently studying Biomedical Engineering in Miami, FL and will be finishing this Fall. As a result i have about 35k in student loans and I unfortunately have accumulated about 4k in credit card debt though I have taken steps to pay this off. I work currently at a large department store but am in the process of looking for other sources of income. Considering my situation, how realistic would it be for me to pursue real estate investing? Should I wait until I am more settled in?

[Thom H.]

John, without further info it's hard to give much advice, but making some assumptions about your situation, such as low interest student loans, higher interest credit cards, paying rent, etc. You need to reduce your debt level as quickly as possible to be in a better position to invest. Start by focusing on paying down the higher interest credit cards, and then shift to attacking the student loans. In the meantime, learn everything you can from sites like BP, an REI, or a mentor, so when you're in a better financial position, you will be better informed. Are you currently paying rent today or have you already purchased a home? Depending on your student loan rate and if you are paying rent today, I might give slightly different advice. For example, if you have a high rate student loan, I'd advise to pay down quickly, just like the credit card debt. If however, it's a low rate student loan and you are currently paying someone else rent, I might advise to pay the minimum on the student loan, and consider finding a duplex that you can afford to occupy and rent out the other side to start building equity. A lot depends on facts, which aren't readily stated above, so I don't want to point you in a direction without better information. But welcome to BP, and soak up all the info on this site. There is a wealth of information here to wet your appetite, and you're already ahead of most by recognizing the opportunities in RE.