QUESTION I GET A LOT: "How much do I need to start investing in real estate?"
We talked about this on TikTok Live yesterday, and the truth is⌠probably less than you think.
âď¸Hereâs the breakdown by price range:âď¸
đ $5K â $15K: Tax Deed Sales & Flipping Empty Lots
- Great starting point if you donât have a ton of capital.
- Example: In Marion County, FL, Iâve seen land sell for 8Kâ12K at tax deed auctions. Investors then resell for double once the title is cleared.
- Watch out: These properties can come with liens, code violations, or unpaid taxes. Always do a due diligence search (O&E report).
Resource: Check your county clerk auction page or sites like Bid4Assets.com. đ $20K â $70K: Foreclosure Auctions with Hard Money Loans
- If youâve saved a bit more, this opens up bigger properties.
- Example: On Auction.com, a home in Georgia sold for 180K. With 15% down through a hard money lender, youâd only need about 27K to secure it. The lender covers rehab and closing.
- With 30K in capital, you could realistically play in the 150Kâ600K price range.
đ $100K+: County Foreclosures, Direct-to-Seller, Commercial
- With cash, youâre in the strongest position.
- Example: A friend bought a county foreclosure for 120K cash and flipped it in 4 months for 210K. Because he paid cash, he avoided lender inspections and delays.
- Cash also lets you go direct-to-seller and make strong offersâthis is how many investors scale into rentals or commercial.
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Takeaway: You donât need a quarter-million in the bank to get started. Real estate has entry points for every budgetâyou just need to pick the strategy that matches your capital.
âQUESTION FOR YOU: Which range do you fall into right now? And which strategy are you leaning towardsâtax deeds, foreclosures, or direct-to-seller?