To YOUNGER investors just starting

If you are young and just starting out, consider one of the following options.

 1. Find a duplex forclosure. Move into one side rent the other out. Spend a few months putting money into the property while your tenant pays a majority of the mortgage with rent. When its a nice rental property, go find yourself a forclosure SFR OR a second DUPLEX and MOVE into it. Nevermind the condition. Tou now have TWO pieces of property ...like a good upswing stock market DO NOT SELLLL Spend the next several months doing the same thing.....MOVE into a nicer SFR or 4 UNITS. Rent 3 live in one. REPEAT...by the time you are 30 you will own several pieces of property. When they are of sufficient value do a 1031 exchange the Duplexes for multifamily. Repeat...keep some and flip (1031 others...never sell for cash or  will always pay taxes. Ultimately, you want to look at small commercial ie strip malls and NNN retain such as KFC etc,,,where you just collect a check. Always keep at least one nice multifamily so the tax breaks take care of the NNN properties. REmember getting a large check is irrelevant...its about the INCOME ....income is king.  Enough income = retirement.

 2. Start the above with an older MENTOR who has money to invest and is scared to do it themselves (vast majority). Tell them...YOU WILL DO IT ALL. Write up a simple contract where they invest ...you do ALL the work. ITs not hard to do a simple rehab on a place with good bones...its all about Home Depot and a frugal eyes. When its done, FLIP it and split the profit 50/50...your MENTOR will see your skils and do it again. ...or refer you to their cousin etc.

Scott