Hey everyone, i need some advise on what to do here. I have access to 50k cash that i can pay interest only payments on for 2-3 yrs. I need to make quick cash so that i can ditch the day job and go full time. What do you guys suggest? i was thinking about buying reo double wides with land, fix up and sell right back on the market and make anywhere from 15-20k per deal. Would that be a good strategy in this current market? Then after i build up some cash get into rentals and mobile home parks. Any suggestions on a bettery strategy with 50k cash would be greatly appreciated.
I would do a couple of Lonnie deals to cover your payments on the 50K.
I do not know your terms but let’s say for example they look like this:
50K @ 12% for 5 yrs. = 1112.22/month
Mobile homes in my area are around 3000-4000 cash. I’d buy 5 of them and LD them and probably get about 250/month for each one.
I spend 20,000.00, and monthly cash flow is 1250/month. That covers your loan of 50K and leaves you 30k to do whatever else you want to try.
Of course, you would have to adjust the math for whatever terms you are getting on the 50K.
A benefit here is that if you set the LDs up for 5 yrs. they will cover the entire loan for you.
But I’m willing to bet, that over the five yrs. probably only one or two will pay off and take the home. The other three or four you will probably have to refill at some point. LD those for the same terms that you originally did, and when your loan is paid off, you still have three or four homes paying you every month.
Does this make sense?
If you do your research you will probably discover that getting rid of your day job is not as easy as it may seem. There are no short cuts to riches, except maybe the lottery, but with 50K and a steady job behind you it is possible to move towards that goal within the next ten years.
I doubt that you can make the kind of profits you are talking about with only 50K to invest but if you set realistic goals you can make money.
The key is hard work and determination.
Lots of hard work.