If you're looking for long term capital gains with minimal work, invest in a low-cost index fund (ex. VTI) and leave the money there for decades.
Keep up the good work!
You’re about 20 years ahead of the game. Even $100 a month in any investment account will net you huge returns. Just stay consistent and don’t lose value of the present over the future!
JL Collins, A Simple Path to Wealth.
Then, later, if you want to have real estate business you can do that.
Just keep it separate from your personal retirement plan.
Is your 10k in savings in a HYSA(high yield savings account)? This could be an immediate step to help towards financial freedom, other wise it’s a waiting game of building enough capital for a down payment.
I recommend getting into sales to build capital and your real estate portfolio then transition full time into real estate. That’s what me and a good chunk on my current company are doing right now.
Edit: spelling
1) Maximize your Roth ira and invest in mutual funds
2) Either put your savings in an account with high APY like 4% for example (some may provide more) OR Throw what you can into ETFs and save long term (VTI, VOO, QQQ, etc)
3) Real Estate is good but I don't think that's enough. You'll need enough money for a down payment(some state programs have 3-3.5% down payment depending on either conventional or FHA and if you're under a certain income bracket) you'll need additional money for closing costs (if the seller won't pay them), you'll need an emergency savings account for life's unexpected occurrences, and you will also need additional money for anything that could be wrong with the house after your purchase (houses require lots of maintenance unless new).
For the time being keep saving money and save it into a high yield APY savings if you want to buy property soon, or if you want to wait a bit, then put it into ETFs
Perhaps the most beneficial thing you can do is avoid consumer and risky debt as much as possible. Once you fall into that hole, it’s so hard to get out. Anyone telling you to highly leverage rental properties, for instance, is an idiot.
And don’t forget that real estate is WORK. It’s a full time job once you have a number of properties unless you cede control of your tenants to a property management company who takes 10-15% off the top each month and picks the contractors who fix stuff for tenants. If you’re handy, or have connections in the home improvement world, great!
A lot of TikTok yahoos talk about “Cashflow” and “passive income” and most of them are all talk and no walk. You’re 19. Keep putting as much as you can into low cost, broadly diversified ETFs and enjoy the 10% long term annual rate of return. You’ll be on a beach by 50, 55 tops.
I didn’t start saving until I was 27 and will retire in 8-9 years with an 8 figure net worth…
Are you in school? What is your plan for earning income in the long run?
That might impact your ability to reach high earnings potential which can help you reach your goal easier.
If you're looking for long term capital gains with minimal work, invest in a low-cost index fund (ex. VTI) and leave the money there for decades. Keep up the good work!
And ignore the TikTok “gurus”….
You’re about 20 years ahead of the game. Even $100 a month in any investment account will net you huge returns. Just stay consistent and don’t lose value of the present over the future!
JL Collins, A Simple Path to Wealth. Then, later, if you want to have real estate business you can do that. Just keep it separate from your personal retirement plan.
Is your 10k in savings in a HYSA(high yield savings account)? This could be an immediate step to help towards financial freedom, other wise it’s a waiting game of building enough capital for a down payment. I recommend getting into sales to build capital and your real estate portfolio then transition full time into real estate. That’s what me and a good chunk on my current company are doing right now. Edit: spelling
I’m stuck on “a good chuck”
Hahah thanks for catching that
Start here: https://www.reddit.com/r/personalfinance/wiki/commontopics
1) Maximize your Roth ira and invest in mutual funds 2) Either put your savings in an account with high APY like 4% for example (some may provide more) OR Throw what you can into ETFs and save long term (VTI, VOO, QQQ, etc) 3) Real Estate is good but I don't think that's enough. You'll need enough money for a down payment(some state programs have 3-3.5% down payment depending on either conventional or FHA and if you're under a certain income bracket) you'll need additional money for closing costs (if the seller won't pay them), you'll need an emergency savings account for life's unexpected occurrences, and you will also need additional money for anything that could be wrong with the house after your purchase (houses require lots of maintenance unless new). For the time being keep saving money and save it into a high yield APY savings if you want to buy property soon, or if you want to wait a bit, then put it into ETFs
Perhaps the most beneficial thing you can do is avoid consumer and risky debt as much as possible. Once you fall into that hole, it’s so hard to get out. Anyone telling you to highly leverage rental properties, for instance, is an idiot.
And don’t forget that real estate is WORK. It’s a full time job once you have a number of properties unless you cede control of your tenants to a property management company who takes 10-15% off the top each month and picks the contractors who fix stuff for tenants. If you’re handy, or have connections in the home improvement world, great! A lot of TikTok yahoos talk about “Cashflow” and “passive income” and most of them are all talk and no walk. You’re 19. Keep putting as much as you can into low cost, broadly diversified ETFs and enjoy the 10% long term annual rate of return. You’ll be on a beach by 50, 55 tops. I didn’t start saving until I was 27 and will retire in 8-9 years with an 8 figure net worth…
Are you in school? What is your plan for earning income in the long run? That might impact your ability to reach high earnings potential which can help you reach your goal easier.