FHA Loan or Conventional Loan for first investment?

[Justo Martinez]

I’m a 22 year old Union Carpenter who is looking to start his real estate journey. I’m stuck between on which loan type should I use on my first investment property.

I have enough funds saved up to put down 20% for properties under $250k, but after the down payment I'd only have little left for reserves in the bank. I'd still have the FHA loan in my back pocket when it's time to purchase my second property.

If I started with the FHA loan, I'd have more reserves ready for any emergencies but will have to start saving again until I reach a comfortable amount to start investing some more.

I’d also be looking forward to living in the unit to gain some on site landlord experience. Moving back in to my parents house is always another option if things get rough.

I'm thinking more towards the FHA loan but don't know which to start off with. After months of listening to bigger pockets and reading real estate books, I'm just an young investor planning on starting to start his journey in real estate. Any feedback or comments would be greatly appreciated!