Hmmm, great question. I think I'd start by making at least 4-5 separate investments and not betting it all on one. So, let's go with 4 separate investments at $25k each.
--If a fixer costs $75k....and I could get an FHA loan(3.5% down payment) I'd do that. That's $2,625 out of pocket. Let's assume I could renovate and sell this home with the remaining 22,375 and it sells for 200k. That's a pretty decent profit. Even if you had to dip into the next 25k a little bit, still great profit.
HOWEVER, I'm not much of a flipper(I know, that's sacrilege around here) so what I'd be looking for is a multi-family opportunity. Let's say you split the $100k up into two separate investments of $50k. If you found a four-plex that needed some work/rents were low/run by a mom & pop operation ect....you may be able to get seller financing from the owner. This would be a great thing because depending on the needs of the seller, 25-35k could go a long way(They'll most likely want a decent down payment if they're going to carry the contract.) Then, you make the fixes as you can, raise the rents as applicable, maybe some capital improvements. This should stabilize the property, and raise the value. Once the property is stabilized, you can re-finance/re-appraise at the current cap rate/value of the property. You could then perhaps pull a line of credit(which is great because you pay no interest until you actually use the money) and go find another one.
This is what I would do(multi-family) if possible...but different markets will require slight tweaks in your strategy. I'm in Seattle so $100k doesn't go as far as it would in the midwest where I grew up.
I think ultimately, depending on your experience level, partnering with someone else would be the best way to get not only experience/learning, but less risk. That's just my two cents tho, hope this helps!
-John
