All Forum Posts by: Ken Barrett

Raymond B. Thanks for the warm welcome! My initial strategy and financial analysis that I've set up in my excel spread sheet would included hiring a property manager to do the landlording for me, while still giving me a $125 per month profit. Having said that, I'm not opposed to doing it myself for my first few investments to really learn the ropes and all aspects of the industry.

I have considered buying a multi-family property as my first investment/residence. Unfortunately, there aren't any on the market currently in the area that I live in (I actually was looking today!). Well, I should clarify that comment... there aren't any on the side of town that I would actually live on. There are a few in a area of town with a higher crime rate, drug houses, etc.

Joel Owens I'm currently renting a 2 bedroom 1200 sq ft house for $900 per month with a roommate ($450 per person), and that includes utilities and cable. This was one of the reasons that I thought it would be a good idea to start investing while renting. My total cost of living, per my home, is only $450 per month. It wasn't until I was given the advice to wait until I've purchased my own home that I even gave it any thought to put my savings towards a down payment on a house instead of an investment property. So not only would I have to re-save another down-payment, but I would have the debt ratio working against me, and the opportunity cost of lost income.

I apologize in advance if this topic is covered elsewhere... I've searched around and all I've found is a topic about purchasing a vacation home instead of an investment property. But here's my situation... I'm a 25 year old college graduate with a good job in Accounting. I'm wanting to start investing early, but I've been told that I should buy my own first house and settle in before starting to purchase investment properties. This advice was given by a successful real estate/business investor that lives in the same city as I do, to his own son as well as to me. It should be noted that I live in an Indiana city of 100k people, so this isn't a "I live in LA and couldn't afford a house even if I wanted to" situation. Is this advice that I should take to heart, or is owning investment property while renting acceptable? Also, feel free to ask any questions about myself, my strategy, or my finances that would help respond to the topic. Thanks everyone!