The Money Mustache Community

Learning, Sharing, and Teaching => Real Estate and Landlording => Topic started by: Julius on April 14, 2021, 06:50:45 PM

Title: Multi vs SFH
Post by: Julius on April 14, 2021, 06:50:45 PM

FIREed by default.
Wasnít quite financially ready for early retirement but my industry has been decimated with Covid.
I have all the time in the world and lots of energy.
I love Real Estate.
Whether it be rehabs or managing.
Would you suggest SFH or small multiplex or larger multiplex?
Iím having a lot of trouble figuring out what would be the smartest move. I could sell my small portfolio and buy something larger or buy another small building, renovate it, and either rent it out or sell it for a profit.
Confused for my next move.
Are there any words of wisdom?
Title: Re: Multi vs SFH
Post by: Archipelago on April 14, 2021, 07:22:54 PM
What kind of investing appeals to you most? Flipping, buy and hold, BRRR, property management? Any of these in particular?

What is your local market like in your area? A lot of markets are hot right now and it's hard to find any decent rentals. In my area, small multi family buildings get 20+ offers with at least half of them cash.

Some more information would help. What are your goals for your time and money?
Title: Re: Multi vs SFH
Post by: Julius on April 15, 2021, 05:50:46 AM
You are right, I wasnít clear.
My goal is to l achieve financial independence using real estate.
I am just having trouble wrapping my mind around the best way to get there.
My market is extremely hot but I am ok with that.
In the end I will probably just BRRR again as that is what I am used to and good at but I was just wondering if there were any other ideas that would help me achieve FI faster.
Title: Re: Multi vs SFH
Post by: PMJL34 on April 15, 2021, 07:52:16 PM

It's unclear how much real estate experience you already have. Without any knowledge of your area or skill level...Generally speaking....

More units typically have higher returns, but require more work. They also appreciate the slowest.

SFH's have lower returns, but require less work. They also appreciate the fastest.

You probably already know this. With that said, I'd recommend larger units for FIRE since you say you have time.

Best of luck!
Title: Re: Multi vs SFH
Post by: Archipelago on April 15, 2021, 08:09:46 PM
What is your target FIRE number, what do the numbers look like on your current rentals, and how many more rentals will you need to get there?