Quote from @Jay An:
Hey everyone,
I've decided to start investing in real estate to diversify my investments, with a long-term goal of creating generational wealth for my family. Hoping to do some networking and learn more about the pros/cons of investing in the VA Beach area.
Background:
I have purchased and sold a primary residence before, but am trying to learn the ins and outs of purchasing for investment purposes. My plan is to purchase single family homes/townhomes for long-term rental, and benefit from appreciation over decades. I have a pretty flexible schedule, but wouldn't be able to become a full-time property manager, so I may be looking at hiring one. I'm also trying to keep my eyes peeled for properties that require some rehab (kitchen/bath/flooring/etc).. not major projects.
Details:
-I have set aside $350k of expendable cash, and I'd like to leverage this. I can add to this in the future, but I am setting this as a limit as I get my feet under me.
-I am eligible for a VA loan
-Generally looking for homes <$400k ARV
-Single, no dependents, currently own no property.
1-year goal:
-Purchase 2 properties intended for LTR. House Hacking via VA loan and 2nd home are on the table, but I am not limiting to that.
3-year goal:
-Look towards multi-family property or opportunities to build ADUs. At this stage, I hope to have enough experience, and the network to be able to accurately estimate total expenses, allowing me to move towards bigger projects with bigger potential gains.
Any advice on ways I can move forward with my goals? Any tips for someone starting out that you wish you knew? Aware of any networking events/groups I should try to participate in?
Thanks in advance for any advice!
Jay
Jay, thank you for this post! I'm SO excited for you! You have such a strong WHY for investing in real estate, "creating generational wealth for my family" -- love it! That's my why as well, "to break generational poverty in my family by investing in real estate!"
"1-year goal:
-Purchase 2 properties intended for LTR. House Hacking via VA loan and 2nd home are on the table, but I am not limiting to that. I love this first goal!" I've never did a house-hack, but my buddies @Danielle Daly & @Noah Bacon are having success with it! The use of a VA loan is great (you can find real estate investor-friendly lenders on BiggerPockets)!
If you ever decide to purchase a non-owner occupied single family property, some lenders allow you to put down as little as 15% for the down payment. I have did that twice.
"3-year goal:
-Look towards multi-family property or opportunities to build ADUs. At this stage, I hope to have enough experience, and the network to be able to accurately estimate total expenses, allowing me to move towards bigger projects with bigger potential gains." Nice!
I have a pretty flexible schedule, but wouldn't be able to become a full-time property manager, so I may be looking at hiring one. If you will be local to your property, I would say first self-manage. I work a full-time job, a side gig as a food delivery driver, moderate for BiggerPockets, gym, family, friends, & etc, but I still self-manage my properties usually from my cell phone, lol! :) Great self-managing comes for well-organized systems, polices, and procedures.
Any advice on ways I can move forward with my goals? Any tips for someone starting out that you wish you knew? Aware of any networking events/groups I should try to participate in? It's great that you are in the BiggerPockets forums, such a good start! I would say attend FREE local real estate meetups in your area. (BiggerPockets has the Community Events & Local Meet Ups section on here!) If not one in your area, start your own. Yes, even if you have ZERO properties. There may be someone in your area wanting to chat about real estate as well! Listen to the BiggerPockets Real Estate Rookie podcast. Read books and attend conferences.
For me, here is how I first started BP (BiggerPockets):
- BP forums
- BP podcast (Rookie)
- Books (Rich Dad, Poor Dad, Profit First, and some BP ones)
- Local Meetup in my area
- Conferences (BPCON2022, BPCON2023, and soon BPCON2024)
I hope this helps! You won't have everything figured out. Just take it one step at a time but with ACTION!
