I have over $1,000 in my bank account but right under $2,000. I had for the longest time planned to use that money as down payment towards getting me a place of my own. The only propblem is I never could find a good paying day job to help build up my savings to put towards getting my own place to stay. I am stuck at my current crappy job making less than enough to survive on. I figure since I don’t have a better job paying more money then I won’t be able to afford to keep a house even if I had just enough for a down payment.
Now I don’t know what to do anymore. Either I should just hold on to my last bit of savings left or just invest the money. I got income tax coming which won’t be much but it is something I can add to the little savings I do have. I believe with savings plus the income tax amount, my total will be over $2,000 but less than $3,000. My income tax amount is usually in the $800 price range. Invest that amount of money somewhere in the real estate arena to make more money or keep the money? I need money bad student loan debts are killing me.
With less than $2K in the bank, your first order of business is to protect that money. Investing it in anythinig at this time is too risky. What if you lose your investment? Where’s your backup cash reserve.
If you’re looking to get into real estate investing, I think the only way to start for someone in your position would be either with lease options or wholesaling. Personally, I think lease options are easier. Good luck.
In a nut shell, a lease option is an agreement between seller and buyer that they will lease a particular property from the seller for a specified period of time. At the end of which they will have an option to purchase said property at a pre-determined price.
During this period, no one else can purchase the property unless the buyer would default.
The buyers generally make a small down payment, with little or no qualifying, which makes it a great way to ease into the benefits of ownership.
If the buyer defaults, the seller does not refund any portion of the lease payments nor the down payment money and may retain the right to sue.
First things first. Working with a limited budget, (by the way, most of us here started the same way), you need to get some know how before risking any of your cash. In other words, put in some study time. Not to the extent where you have paralysis of analysis, but you can’t be going into this business on a wing and a prayer, either.
Focus on one strategy for the time being. Do some reading up on it, put the knowledge to work and grow from there.
Have you requested a forbearance or deferment? They’ll pretty much give you one just for asking (trust me, I know lol). No need in stretching yourself to death just to make student loan payments.