Buying SFH with 5-20% down? Maybe someone will mention it, High. This is still a new post afterall. However, I never recommend putting ANY money down on a deal, so it won’t be me. Also, if you plan to rent, you need to understand what PCF really is. If your total PITI is $600 and you’re collecting $650/month, it may be a shock, but you’re NOT cashflowing positive. Whether you put down 0 or 20%, what makes or breaks cashflow is the discount that you got off of retail.
Appreciation is NEVER guaranteed, so buying prop with any appreciation in mind is not the best course of action. Buying at a large discount is the only guarantee to make money. Of course, with cash on hand, the ability to get larger discounts is possible.
mw, getting a large sum of money and opening up shop as a hard money lender is simply foolhardy unless you actually know alot about hard money lending, your state’s lending laws, market values, etc, etc. High may or may not have this knowledge and experience or may be able to get it, but suggesting to ‘just do it’ doesn’t really work here.
High, the problem with simply asking ‘what would you do’ is that no one here knows what YOU would, or could do. As stated, there are an unlimited number of ways that you COULD double your money, there are actually only a precious few that WOULD actually work for you. For example, I have a friend that if he had that money, he’d be in Vegas ASAP and the odds are that he would double that money before the night’s over. He’s that good. Me, if I’d try that, I’d be broke within the hour.
Which is another point, is it more important to double the funds, or use it to create passive cashflow to finance the lifestyle that you desire? Those two don’t necessarily work hand in hand.