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> The third option would be nice, but now I'm looking at outweighing the amount I'm "sinking" in rent against the amount I bring in from the rental property, minus the mortgage payments. Life starts to get complicated at that point, but it does at least offer a safety net of not losing my primary residence.
So wouldn't it make more sense to rent? That is safer than owning an illiquid asset like a house.
> Personally, the thing I like about real estate is the hands-on piece of it. I like knowing I own a full property and have full control over it.
I would suggest you start by reading a lot because it would be very helpful. Start with the following book:
I wouldn't stop there but I would definitely read it and get a grasp of a bunch of things.
Thanks for the down vote.
> I don't know where to start, or if I can even do it.
I would start by reading a book. At the same time, I would get a REAL appraisal for the property and see what it is worth.
In addition, after reading the book and seeing what it is worth, I would find out what it would cost to maintain the property as a rental per year. I would find out the rental revenue you could generate as well. Finally, if you choose to go down this road, how much it would cost to manage this rental since you can't do it yourself.
After you figure out what the house is worth and your potential rental income, then you can make an informed decision.
> Do you know a good resource for learning how to do a cost benefit analysis, or could you tell me how to conduct my own?
Start with the book above. I highly recommend it. You can buy a used copy for less than $3.00.
Please let me know if you have specific questions.
I suggest you start reading and teaching yourself rather then relying on the internet. People ask these questions all the time with almost no background. Someone told me investing in real estate is an easy way to make money. Try reading.
It's the WSJ RE guide. Of all the books I read before I bought my first property - this was the most useful in terms of walking you through the process. Honestly though this sub has some super useful threads - buyers describing their first purchase (like a timeline of day-by-day) that a FTB would definitely benefit from. Sometimes the personal accounts you read here from industry professionals and investors are way better than what's passed through a publisher.
I'm in the process of reading The Wall Street Journal's Complete Real-Estate Investing Guidebook. It has a lot of good information not only about the bigger picture of being an investor in this industry, but also includes tips for landlords (and it talks about the topic of your question specifically).
If you're serious about being a landlord, you would do well to complete some professional reading about the topic beyond simply asking Reddit!
Your local library might have it. You don't even have to read the entire 256 pages. I'm guessing it's your first home? You'll get A LOT out of reading just the few chapters that apply to you. Will cover some unknowns you might not have considered. Good luck
Start with this book.
> Are there any books or websites that you would recommend to read for someone who is thinking about becoming a landlord?
Then the Nolo books are pretty good.
> What are my next steps? I would love to invest somehow, but am unsure which routes to take. I am planning on sitting on the money for a year at least to avoid any possible impulse decisions.
When I read things like this, I can only think of a few suggestions:
Start reading and wait until you can make an educated decision. You're going to be an MD, use that skill set (acquiring knowledge and implementing it) and apply it to the money. Don't just ask people on reddit especially /r/personalfinance for suggestions. Hit the books, read about RE Investing (here), Markets (here and here) also perhaps check out White Coat Invest (here) and learn as much as possible.
Do nothing for now. What is the rush?
Considering you likely won't have any debt, you're in a much better situation than most of your colleagues. Take advantage of it.
Here is a good book on the topic.
Read a book...
I suggest reading when people ask questions like.
Side note: I wouldn't trust Zillow.
How much total capital did your family give two no-experienced people to begin this venture?
This Book is a good start.
> WSJ RE
Is that the one?
Everyone has their personal favorite for the overview - mine is the WSJ Complete RE Investing Guidebook. Good intro to the structure.