New to investing (Seattle area) looking for tips to get started

[Elmer Bonilla]

Hey everyone, I’m new to BP this is my first post and really enjoying the awesome info on the forums. I’m in my mid 30s and ready to jump into real estate investing. We moved to the Seattle area almost 4 years ago and purchased our primary residence in 2018 in Snohomish county. I work a full time W2. My wife and I have been discussing ideas on how to start on our investing journey and I was hoping some of you could share some insight on the best approach for a couple with 2 young kids.

We talked about the idea of partnering up on a number of flips in order to learn the ropes and generate some cash to later invest into BRRR properties. I believe this is a common practice (?). We would most likely do this through a HELOC. Thoughts on this?

Another idea is to sell our primary to buy a duplex to house hack and invest some of the money on flips or buy additional rental properties possibly out of state (maybe Columbus, OH) Preferably we would keep our primary and rent it out but would like to tap into our equity to purchase the duplex or other type of small multi-unit.

We're also thinking about purchasing BRRR properties out of state.

My main questions are:

1. Is tapping into the equity of my primary residence my best option to start partnering up on flips and getting my feet wet?

• Considering BRRR in Tacoma, is this still a good market. I've seen cheaper small multi-units in that area. How about Everette and other north cities like Marysville, Lake Stevens, Tulalip

• Is out of state investing a good idea when getting started?

Thank you for reading. I would be happy to connect with members and agents.

[Kyle Wells]

Hi Elmer and welcome to BP! Personally, I would highly recommend selling your primary (tax free!) and househacking a duplex. You are killing two birds with one stone. 1. You significantly reduce your monthly living expenses, and 2. You get your feet wet on your first investment property that you will eventually turn into 2 doors. 

I also own three properties out of state (purchased 1 while living in Kansas City for 2 years) and it is more difficult to manage not being there. Even with a PM, they don't manage it how you would. I now focus on investing locally and focus on the North Snohomish County area as the demand is high and it's a booming area. I find it beneficial to buy in an area you know and that's convenient to you. Good luck!