Need some advice/direction

[Andrew S.]

Hello. I would like some advice/direction. I am about to be 40 next month. I make around $950/month (net). In a year I will be completely debt free. Though, I don't have any savings. After that time, I have a wealthy friend who is going to give me $100,000 (not a loan) toward my housing situation (I am currently living with my parents). My idea, currently, is to use that to buy a condo free and clear. I have thought about house hacking with a multi-unit, but I'm not sure. Thank you in advance for your thoughts on this.

[Chace Fraser]

@Andrew S. Welcome to the BP community. Just by joining you are taking the first step to financial freedom.

First off, you will need to decide on your ultimate goal for investing in real estate and then determine how you want to get involved/start. Do you want to be an agent, a buy and hold investor, flipper, wholesaler, etc... You need to figure out a plan on how you plan to attack one or more of those target areas. Next is just sitting down and following that plan to the best of your ability until you have reached your goal.

It's ok if your ultimate goal/plan changes, and it should really. As you experience, grow, and learn more, you'll have a better understanding of how things work and what ventures may be best suited for your personality and lifestyle preferences. However, try to keep on blinders when it comes to shiny object syndrome. Pick one strategy and start with that. After you’ve done a few deals of that type of strategy you can move on.

I think house hacking is a great way to get your feet wet in rental investing, especially if you can find a duplex or so and live in one half and rent out the other half. There is tons of information on the forums and various professionals on this site.

Best of luck and I look forward to hearing how it goes!