Hello friends, welcome back to my blog. This week has been a stressful week. There have been a lot of problems related to medication charges at work. It got to the point where I think I work in the finance department and not pharmacy anymore because of how many problematic accounts I had to deal with: charges that didn’t go through, late payments, rapid response, hold accounts because of missing drug information, duplicated account number, and so on. Besides all that craziness, one good piece of news is that I found tenants for the rental property, and they just moved in last week. This is the very first blog about my real estate rental property, and I am very excited to share this journey with you.
Why I decided to purchase a rental property.
The simple answer is that I want to diversify my portfolio. I maxed out my 401k contribution every year for the past eight years. I have also put more money on the side and invested it into more stock. Until 2021, the stock market and cryptocurrency had been doing fantastic. At the beginning of 2022, everything started to trend downward. Even though I fully believe in long-term investment, the stock market crash made me think differently about this type of investment.
Another factor is my uncle. He owns five rental properties and has always encouraged me to start investing. It wasn’t easy because real estate investing requires a lot of capital upfront, and I didn’t have enough money for that at first.
Related: HOW TO ORGANIZE YOUR FINANCE
Where I get the money from.
I need at least 20% down to invest in a rental property. When I started to see my stock investment decrease by 30%, I withdrew all the money so that I could break even. I used all that money for the down payments. I had to borrow money from my parents to take care of a few other fees and have a little emergency fund in case there wasn’t any tenant for the first couple of months. It was a terrifying moment when I realized that I had ZERO money left in my savings, but I decided to be fully committed.
Am I happy with my decision so far?
Yes, I am happy and excited because the property value has gained $30,000 after two months. There isn’t a sure thing that real estate will continue to do well over the next five years. However, this investment gives me a chance to become a landlord. I have already encountered a lot of issues and learned so much. This is why I started this series to share it with you all.
If you like my blog, please hit LIKE and put a COMMENT below letting me know what you think.
