Where are you finding a huge $50,000 house? I'm assuming it's been foreclosed upon, which probably means there are liens attached to the property. There is also a strong probability that you will be buying the property "as is", and that whatever loans you are taking out to pay the mortgage definitely will not be enough to renovate. Further, relying on roommates you aren't positive you can find is a horrible idea. Would you be able to afford to live there by yourself? If no, you are taking a huge risk in buying that specific property.

It's also never smart to buy a property you absolutely know you want to sell in 3 yrs. Nobody knows what the market will be like, and buying real estate you can't really afford in an economy that's not too hot is not the best of ideas. If it's a place you could see yourself living in for more than 3 yrs, and you can afford it regardless of whether or not you have roommates, go ahead and do it. Otherwise, don't.

It depends on where you buy your house. If you buy it in a neighborhood with lots of university students who want to rent, that would be great. Except, these houses have not really dropped in price much at all. If you're lucky you might find a freak deal with a lot of hunting, but people are actually bidding on these places right now precisely because they can do the rent > mortgage+costs math just as well as you can.

Go live with your parents, and then buy a house after you graduate. If you were good enough and well-financed enough to pull this off, you wouldn't be asking about it on TLS.

Sounds like you know what you want to do.

It is not necessarily smart, but isn't unwise either. There's a lot that goes into being a landlord though, so just make sure you know what you're getting yourself into. If you pursue that biglaw job on the other side of the country, or even in a neighboring city, you're still going to have to take care of this property. The potential for it to become a hassle is very real, so do a quick gut check before you commit yourself to having this responsibility while in law school.

The potential for you to succeed at this is high, if everything falls into place and you have a modicum of luck. Of course, if you fail, you will fail in a spectacular manner; it will be the type of failure that is so large, it will be best viewed from space. /hyperbole

yeah with tenants, you cant "fix it up over the summer". if a dishwasher breaks or something, you will have to address that in a timely fashion. I don't think its worth any potential drop in your grades to save a few $.

Dude, you clearly want to buy and rent to people. Just do it. Stop pretending to weigh people's advice only to have some completely illogical answer ready for them when they bring up a valid point. I don't care how little I pay in rent, I better have a functioning shower if one was advertised with the apartment.

Edit: Not that I blame you for not listening. I would feel pretty ridiculous talking to a mortgage broker and saying "I'm buying a house because a bunch of people on the interwebz told me it might be an ok idea." For the love of God, go talk to a financial advisor.

Before you get too excited about your scheme: try going into a bank to ask for a mortgage and explain that you intend to make the payments with student loan disbursements. At least some loan officer will get a good laugh.