Newbie Question: Invest vs Rent

[Mark Lord]

Newbie here looking to get into the real estate game. Before I get started I had a few questions I was hoping to get some help with. Please forgive me if this is not posted under the correct topic. 

Here's the scoop. I have about 50k to invest. I'd like to start growing that money sooner than later. Possibly acquiring a flip, auction property or rental. I'm also in the market for a new home. I live in Las Vegas NV. So here are the options I have...

1. Purchase a home for myself, and use the remaining money to invest? That wouldn't leave me much to invest with. 

2. Use all the money to invest and move into a rental for the time being? I know renting for myself is a waste of money, but could allow for more opportunity for investing. 

3. I currently work as a chef and make a good living (100k annually). I was also thinking about getting my real estate license to gain the knowledge of the field. Is this going to be beneficial to me I the long run?

Ultimately I'd like to get into the investment / real estate field full time. It's a pipe dream of mine to become independent and wealthy doing something other than cooking! Any and all advice would be appreciated!! Thanks in advance for the help!

[Marco Santarelli]

Hi @Mark Lord,

Welcome to BiggerPockets!

Glad to hear you want to start investing in real estate.  That's the best way to create wealth and secure your future.

The answer to your rent versus own versus invest questions comes down to the numbers.  And the market you live in can have a big impact on your decision too.  For example, I know you live in Las Vegas, but if you lived in a more expensive market like coastal California then you'd be much better off renting because of the lower monthly expenses, and taking that down-payment and purchasing cash-flowing rental properties in other markets where the numbers make sense and you get positive monthly cash-flow.

Don't think of renting as a waste if the numbers put you further ahead financially by owning rental properties and renting your home for now.  Again, this comes down to where you live and what you want to live in as a home.

Be sure to check out the Ultimate Beginners Guide as well as my 10 Rules of Successful Real Estate Investing.

Continued success!