/biz/ - Business & Finance

>>16784830
I would cash out all $90k and keep your job for the time being. Take the $90k and invest it into Commercial or Industrial Real Esatate. Assuming you have good credit, you could obtain an LTV of 20%, with $90k that gives you $450k in purchasing power. Buy a smaller (6k-10k SF) industrial building. Make sure you can add value to this building in some way shape or form, the easiest methods are through renovation or lease up. Lease the unit as is, or chop the building into two-three smaller tenants (called Flex spaces). When formulating your lease, use a triple net (NNN) structure, this passes every expense through to your tenant(s). Taxes, insurance, common area maintenance, utilities, etc are all paid for by your renters. At $450k and an 8% cap rate, you would have an NOI of around $36k. Pay down your debt service for a few months and then start rolling the money into new deals of similar structure. Form an LLC for each building and always sign non recourse loans. You should also look into 1031 exchanges and how powerful they can be. Before you know it, in 3-5 years you’ll have a solid portfolio built up and have reliable passive income which will allow you to quit your job. Take advantage of historically low rates while you can anon.

t. 27 unit industrial owner profiting $15k+ month after debt service