Smartest Way to Invest 25K- Seeking Advice from Experienced Investors

[Zoe Brennan]

I’m looking for the smartest way to invest $25K to generate the best returns and scale my portfolio as quickly as possible. My goal is to make the most strategic move that maximizes profit while managing risk effectively.

If you had $25K to invest, what would be the best option? Would you put it toward a down payment on a long-term rental, BRRRR, house hacking, partnerships, or another strategy? What type of real estate would you target—single-family, multifamily, commercial, etc?

For those with experience, what has worked best for you? Any key factors to consider or lessons learned when trying to scale efficiently?

Appreciate any insights—looking forward to learning and connecting!

[Melanie P.]

I'm sorry to sound negative, but $25k is not a sufficient investment to get going in real estate. 

You will likely hear from a lot of people pushing syndications since your post is chumming the water. These deals are very risky, frequently fail, require locking up your capital for many years with no ability to cash out or sell your position. 

Do you own your primary residence? This is always the place to start. The 25k would do fine in a stock index that suits your risk tolerance. Many of them have been returning significant sums. But even if you hit a home run and grow 30%, that is $7500. You have to add to your investments all the time to make your investment portfolio grow.