Rehabber · Mount Holly, NJ · Member since 2012 · 50 posts · 1 vote
Hello all. Newbie here.
I have done all the basics that everyone tells you to do. I have done due diligence, gotten a mentor, have worked on fixing my credit, etc. I am sure this question has been asked a million times before, but specifically for those that rehab properties; if you could do it all over again, what would you have done different? What would you have changed about your business plan or your approach to investing? Is there anything that you think you could have done to do more deals quickly and successfully?
Too many new investors really don't establish decent systems and follow them. Of course there were no gurus, mentors, etc. when I started so the early years were flying by the seat of our pants and hoping we hit something once in a while. We made money and kept busy.
When my late brother and I finally sat down and asked ourselves is there a better way to do this or that and setting what would be called systems today our business tripled but the amount of hours stayed the same. So don't be like the young dog who chases every rabbit and bush that moves and ends up with nothing.
I'd avoid any major purchases (personal residence, new car) until I had substantial passive income from a rental portfolio to cover the expenses. Nothing worse than working for money to pay bills every month when you are just getting started.
Too many new investors really don't establish decent systems and follow them. Of course there were no gurus, mentors, etc. when I started so the early years were flying by the seat of our pants and hoping we hit something once in a while. We made money and kept busy.
When my late brother and I finally sat down and asked ourselves is there a better way to do this or that and setting what would be called systems today our business tripled but the amount of hours stayed the same. So don't be like the young dog who chases every rabbit and bush that moves and ends up with nothing.
You've already done it, but I wish I had consulted with more knowledgeable people. My first few "deals" weren't that great and I learned a lot from the proverbial school of hard knocks. I was of the opinion that I didn't need other people and could figure it all out on my own. I have since (hopefully) smartened up a little bit on that front.
Ahhh, the old....if I knew then what I know now......I don't think there is anyway around that, it just goes with life.
I was happy with $50 over my PITI one my first rental! You learn as you go in everyting.
If I had known the benfits of having gone through a real estate agent's class when I first started I would have done it, I feel I missed the boat there instead of waiting sooooo long. It took years to learn that stuff the hard way before I took the class, getting a 100% on your grade doesn't pay you any more either.....
We tried to be "Lone Rangers" in the beginning. We had no desire to network with other investors, so we just bought and flipped and learned as we went. I think we would have matured faster if we would have sought counsel and ideas from other experienced investors.