I have 100k what to do in real estate ?

Question

I have 100k save up , what should I do in terms on real estate? I have some options - out of state investing , using like Memphis invest and others similar. Buy fix and flip (but I would assume I need more money) . And that’s all I can think of, any suggestion from the community?

Brian Garrett · Answer

Put it in a high yield savings account earning around 2% interest with zero risk while you learn everything you can.

Then use your $100k once you've educated yourself and picked out a strategy that aligns with your interests/goals.

Also make sure you are very cautious of people reaching out to you with "deals" and "opportunities" now that you announced having $100k cash on a public forum as there will be people who would love to spend (not invest) it.

Alina Trigub · Answer

@Andy Ramdeen

For starters, I wouldn't post on BP how much money you have saved up! I'd also take all the advise with a grain of salt as everyone is speaking from their own personal experience.

Here're a few articles that will help you step back and identify which route to take: active vs passive, and then narrow it down even further as to which niche to pick.

https://www.biggerpockets.com/member-blogs/10850/86621-six-steps-approach-to-getting-started-in-real-estate

https://www.biggerpockets.com/member-blogs/10850/86626-the-pros-and-cons-of-investing-via-real-estate-syndication https://www.biggerpockets.com/member-blogs/10850/85836-should-i-buy-a-turn-key-property-or-invest-in-a-syndication

Dan Handford · Answer

@Andy Ramdeen I agree that passive multifamily syndication is the way to go. It allows for no work on the asset and a truly passive investment with potentially higher returns in the long haul (15-18% annualized).

I am personally invested in 15 multifamily syndications in large apartment complexes throughout the southeast and Texas.

NOTE: Many operators allow for non-accredited investors. You just have to start asking to see if this is an option.

Feel free to PM me if you have further questions.

FINALLY: Due your due diligence on the operators as I’ve seen some people burnt by operators that didn’t have a track record.

Travis Watts · Answer

@Andy Ramdeen Great topic! If you are an accredited investor, check out real estate syndications. This is the path I chose once I became accredited. It's a truly passive model that doesn't require your time and makes it easy to invest out of state. Prior to doing this, I did a lot in the single-family realm, all in my home state. Best of luck to you!

Caleb Brown · Answer

If it was me I'd get an FHA loan and purchase a 4-plex or get conventional financing and get more units. I personally wouldn't flip because it is time consuming and a lot of work, I like having more hands off along with passive income. Another option is to BRRR. Here in Kansas City you can purchase property 50K-70K with ARV's 115K+. I help out of state investors with this strategy, let me know if I can assist.

Andy Ramdeen · Answer

@Caleb Brown i would like to know more about Kansas City area .

Edwin L. · Answer

@Caleb Brown, which parts of KC are you locating properties in with those numbers?

Account Closed · Answer

@Andy Ramdeen We did the same thing and after having SFH’s, duplexes, triplexes we have now realized in order to scale much faster we had to educate ourselves in buying large multifamily apartment complexes. We are SO glad we did because before we thought, oh maybe we can try to buy a 6 plex or 8. However, after we took the courses which weren’t cheap, there was serious sticker shock I tell ya, we now are always going for 50 units and up. Plus you meet others just like you at the courses who have the same issue. They have some money to invest too but not sure which way to do it. You can find partners that way if you wanted to. We felt like we bought into an investor’s club when we did it. We now have 253 units under contract which we never would have thought possible before we took courses! Have fun which ever path you choose :-)

Roni E. · Answer

I would do your homework. I would first see if you want to be an active or passive investor. I would see about if you want to hold something yourself or check out multiple opps. To see what works for you best.

Eric Perdomo · Answer

Hey Andy, you're on the perfect site. Many people have asked that question, and im sure you will find it, when you search for it. Please read up, and ill see you at the top my brother. Best of luck!

I have 100k what to do in real estate ?

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