Life Events
First Investment
Making your first move into real estate or a business. The goal isn't to start fast — it's to start smart. One bad first deal can set you back years.
What Most First-Time Investors Get Wrong
- • Choosing a strategy based on what they read about, not what fits their situation
- • Underestimating capital requirements — purchase price is just the beginning
- • Not stress-testing the numbers (what if vacancy is 30%? What if repairs run over?)
- • Relying on the seller's numbers without independent verification
- • Moving too fast because of deal pressure or FOMO
Picking the Right First Strategy
The best first investment is one that matches your available capital, time commitment, and risk tolerance. A fix-and-flip requires active management and speed. A rental requires patience and reserves. Buying a business requires operational knowledge.
Don't pick a strategy because it sounds exciting. Pick one because it actually fits your current situation.
Financing Your First Deal
- • Conventional investment mortgages: 20–25% down, best rates, requires good credit and income
- • House-hacking: Live in one unit, rent the others — enables owner-occupied financing (3.5–5% down)
- • Hard money: Good for fix-and-flip but not for someone new — higher cost of mistakes
- • SBA loans: For business acquisition — low down (10%), long terms
- • Partner with capital: Bring execution, find a capital partner — split upside
Questions Worth Answering First
- • How much capital do you have liquid — not total, but genuinely available?
- • How much time do you have to be involved in the deal?
- • What's your actual risk tolerance if the deal goes sideways?
- • Do you have 6 months of reserves beyond the down payment?
Ready to make your first move and want a second set of eyes? Send me your situation and let's think it through.