Should I look into investment properties at the age of 22?

Ok I just turned 22 years old. I have good credit and have been approved for 2 apartment buildings, one which will be owner occupied. 3 -4 units is what I am looking at. I am not a millionaire i make about 30k per year. I was thinking of doing an interest only loan for a few years in order to get some immediate cash flow. I just dont know if it is a good idea to jump into to something like this at my age. I really need additional income and would like to eventually by many more properties to build equity. It is obviously the time to buy but does anyone think this is a good idea?

Don't let others steal your dreams. If that's what you want to do, then go for it. Just make sure the property has positive cash flow, and don't even bother with negative cash-flow properties. You'll be fine. Age is not even a consideration here.

It is a good thing when thinking about your future, and real estate is an excellent idea. I was 22 and owned a 6 unit apartment.

However, NEVER take out an interest only loan for investment property. The idea is to have as much equity as you can to reduce costs.

If it were me, I would consider waiting until early winter to buy. It seems people tend to sell lower during winter.

Remember, buying multi unit properties is just the beginning...YOU are responsible for everything from roof repairs to sidewalk maintenance, and you can't charge your tenant for a bad refrigerator or leaky hot water heater... it is all on you.

If you realy think its the time to buy then go for it, but remember rates are going up, green belt land is being built over and lots of demand is moving over seas.
If you definatley want to be in the UK buy either in London or about 20 mins outside a city so as to cash in on urban sprawl.
Remember property isnt historicaly the best place to invest (the stock market is) so a good way of getting exposure to rising house prices could be to buy shares in property companies. That would let you benifit without having to take out a mortgage and dividends would help with your cash flow.
If you dont need to be in the UK have a look at bulgaria, great houses from 30k!

candidly son, stop the insanity before you go bankrupt.
visit daveramsey.com to learn lessons you don't want to hear before you end up living in your car.
the bankers will loan anyone money now, cause they get the properties back when you default.
you don't have cash to start or Carry you over problems or vacancies.
making 30 k yr with out ready cash reserves is a nightmare. Don't care what midnight tv promos say.

I bought my first property at 21 and I have blue jeans that are as old as you. My advice is go and find a commercial real estate broker that can give you a financial analysis of income and debt cost ratios and see what kind of an investment this would be. I started with a piece of land as an investment back in 1970 I got into the real estate business in 1973 suffice to say I have a lot properties under my belt and you need to start slow, learn, and build up. You are going to spend more time dead than alive don't rush it do it right.
Buena Suerte

Yes! Investment properties are a great, long-term way to build wealth. Most financial advisors would agree on that. However, how you buy can be as important as what you buy.

Interest only loans are what are called "exotic" loans. These kinds of loans mean that you never pay down the principal of the loan; you only pay the interest on the loan.

That may look good on paper, especially if property values are going up. However, what happens if the values of property drop? There's lots of noise out in the investing community about "housing market cool downs" and such in the continential US and Canada. If you had to sell because of financial pressure, you could potentially be in the position of selling your property for less than you paid for it, and end up with a loan to pay off -- and no real estate asset to show for it.

In fact, in the US, these kinds of exotic loans are at the forefront of the foreclosure numbers.

While I commend you for wanting to invest in property at this age, (I sure wish I had), I'd have to say that you should put on the brakes and think carefully. Unless you have a good downpayment for this property, and some cash reserves to tide you over if you lose a renter or have to make a major repair, this is a dangerous move.

I am also in my twenties. Currently I am a real estate appraiser and I am looking to invest as well. It is defintely not easy no matter what people may tell you. On an income of 30k it's a tight budget. My take on it is don't bite off more than you can chew. If you have a 3-4 family and one tenant doesn't pay then you might be in trouble. I have been having the same issues as you. I think you should buy a home first that needs a little work under market value. Wait a year or so till you have some equity and use it for another property.
As far the interest only loan is concerned I am for it if you buy the property below market and you plan to stay there for a little while. I know of a couple who bought a two family house for 350k with this loan and stayed for 5 years and resold for 520k. He had 10k in for a downpayment and that's it. He made a nice profit. Also you can pay the principal down at anytime. For example
200k loan @ 6.5% for 30 yrs=$1,264.14 per month
200k loan @6% interest only for 10 yrs = $1,000 per month

If you sell in five years for 300k
Balance for 30 yr traditional is $187,221.59
Balance for 10 yr interest only is 200k

There is not much of a difference and the 30 yr paid a .5% more of interest. This extra 13k more of equity will not make or break you. Also, if you paid the extra $264.14 more on your interest only (as if ammortorized for 30 yrs) your balance would be lower $184,151 a 3k lower balance than the 30yr. Most people nowadays stay in a house for 5-7 yrs; plenty of time for you to build enough equity and not worrying about losing money at when selling. Even if values drop drastically the 30yr fixed and the interest only loan would be in trouble if they had to sell below what they paid for. Ex if you could only sell the property for 150k 5-7 yrs from now ; most likely would not happen. You will run into problems if you end up staying longer than 10yrs, have to refi at a higher rate,not paid any towards prinicipal and the market has tanked drastically .