New College Graduate Moving to Baltimore - Rent or Buy?

[Stephen Day]

Hello! I am excited to be posting in the BiggerPockets forums for the first time. My name is Stephen, I am 22 years old and am getting ready to graduate college. I recently accepted a full-time position with a company in Middle River, MD...just outside of Baltimore. 

I had intended to begin building a Real Estate portfolio as soon as I graduated, but now am hesitant to jump in because of the nature of my full-time job. For my first year, I will be working from Middle River, MD. Then, in July of 2022, I will move to another of my company's locations as part of a rotational program. This process will repeat until July of 2025, where I will finally settle down in a more permanent location of sorts. 

I realize that there is value in renting that manifests in the form of flexibility. However, I also realize that it is, in today's world, easier than it ever has been to manage a property from afar via the internet, so I am not yet willing to take purchasing a multifamily home to "house hack" off of the table for my ~1-year stay in Baltimore. The strategy would be to purchase a cash flowing multifamily property, manage it while I am there, and then pass that responsibility off to a management company upon my departure from Baltimore. Ideally, this process would be repeated for each of the 4 locations I move to during this rotation program.

I am familiar with the process I would need to undertake to make this acquisition a reality and have already spoken with various banks about getting pre-approved for a loan. I am posting today in an effort to see if anyone familiar with the Baltimore area has any advice they would be willing to offer. Additionally, I am looking to make some connections in the area so that I might, in the event where I choose to forego a purchase and just rent, be able to continue my learnings so I can hit the ground running when the time/opportunity presents itself.

Thank you!!

[Stephanie P.]

Originally posted by @Stephen Day:

Hello! I am excited to be posting in the BiggerPockets forums for the first time. My name is Stephen, I am 22 years old and am getting ready to graduate college. I recently accepted a full-time position with a company in Middle River, MD...just outside of Baltimore. 

I had intended to begin building a Real Estate portfolio as soon as I graduated, but now am hesitant to jump in because of the nature of my full-time job. For my first year, I will be working from Middle River, MD. Then, in July of 2022, I will move to another of my company's locations as part of a rotational program. This process will repeat until July of 2025, where I will finally settle down in a more permanent location of sorts. 

I realize that there is value in renting that manifests in the form of flexibility. However, I also realize that it is, in today's world, easier than it ever has been to manage a property from afar via the internet, so I am not yet willing to take purchasing a multifamily home to "house hack" off of the table for my ~1-year stay in Baltimore. The strategy would be to purchase a cash flowing multifamily property, manage it while I am there, and then pass that responsibility off to a management company upon my departure from Baltimore. Ideally, this process would be repeated for each of the 4 locations I move to during this rotation program.

I am familiar with the process I would need to undertake to make this acquisition a reality and have already spoken with various banks about getting pre-approved for a loan. I am posting today in an effort to see if anyone familiar with the Baltimore area has any advice they would be willing to offer. Additionally, I am looking to make some connections in the area so that I might, in the event where I choose to forego a purchase and just rent, be able to continue my learnings so I can hit the ground running when the time/opportunity presents itself.

Thank you!!

Hey Stephen

Congratulations on getting a job right out of college.

Actually the rotational nature of the job could be perfect for you to secure properties in different areas using low down payment financing. If you're buying single family properties, you should be able to use FHA more than once if you move more than 100 miles from your current home. It's a rare opportunity and if you can find a multi unit property, even better because FHA has the lowest down payment for multi families in the market.

Stephanie