I need feed for my plan to get into real estate and build wealth

Real Estate Agent · Boise, ID · Member since 2016 · 1k+ posts · 888 votes

4y

@Lena Michelle you came to the perfect place. There are many possibilities you can go with this and a good strategy going forward. However your circumstances are your own and thus will have to be tailored to you. Feel free to shoot me a DM and we can have a quick call and hopefully get you closer to a refined plan moving forward.

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Bradley Dosch

Real Estate Agent · Seattle, WA · Member since 2019 · 301 posts · 188 votes

4y

Hey Lena, this is a great post! Super cool that you're getting started so young. I think you have an excellent plan! You make a fair point that it will take some time to build up consistent income from selling houses, depending on how effective you are. Your success as an agent aside, you'll have to wait two years (usually, talk with a lender) in order to get two years tax returns of 1099 income to qualify for conventional financing. Of course there are other ways (DSCR, etc) which typically requires more capital - which maybe you could raise if you're a great agent or find someone willing to invest with you. Or maybe you're able to get awesome seller financing terms.

Overall, I think your plan is excellent and I would just go for it! You are young and have plenty of time to try things out and change course as you see fit. Just continue putting in the effort and good things will come. Good luck Lena!

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Zierry Eme Carl T. Tagbas

Realtor · Spokane, WA · Member since 2020 · 138 posts · 87 votes

4y

Quote from @Lena Michelle:

Hey guys, my name is Lena. I've been on bigger pockets for a while but never really interacted on the forums. I've always had some questions about my plan in real estate and always went to google but it just occurred to me to network here with experienced people instead of digging for answers. SO, let's get started. Im 17 years old and a junior in high school, Im planning on saving up money for some real estate classes, in the summer after I graduate high school, to get my license before college in order to get started on selling houses as an agent.(Of course this comes with the difficulties of getting lists and being hired by a brokerage which I would like some insight on.) Then I plan on saving some of the money from commissions to begin investing in real estate. I don't intend to be a real estate agent forever, but I thought with this profession I could educate myself on real estate through experience and obtain a good amount of money. When starting my investment journey i'm mainly focused on investing in BRRRR, house hacking and house flipping. In that order. I want to invest in duplexes, fourplexes, apartments, etc. I want to one day have built an enterprise on real estate investments along with other business ideas I have.

Let me know what you guys thinks about this and please get into detail about any part of this general plan I have to build wealth.(Right now i'm mainly concerned about the upcoming step which would be how fast I can start selling real estate when I get my license.)

Welcome to the forums, Lena! 17!! Wow you are super smart that you wanted to invest in real estate! You are definitely in the right place to get connect with folks that have some some deals and other new investors too. Definitely find out which firm you wanted to be part of.

Just a friendly reminder that selling real estate is not an easy business but if you chose to be with a firm or brokerage that can guide you to your success then you'll be up there. You can start interviewing firms too to make sure they would be a right fit for you. Look far beyond commission splits too. Go to networking events (facebook have tons of it). I could go on and on but...

Good luck out there! Please feel free to connect with me if you have any questions and I'd be happy to answer them!

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Nathan GesnerBusiness Member

Moderator

Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes

4y

Welcome to BiggerPockets!

Here are some suggestions. Take what you can from it and dig in!

1. Start with BiggerPockets Ultimate Beginners Guide (free). It will familiarize you with the basic terminology and benefits. Then you can read a more in-depth book like The Book On Rental Property Investing by Brandon Turneror The Unofficial Guide to Real Estate Investing by Spencer Strauss.

2. Get your finances in order. Get rid of debt, build a budget, and save. The idea that you can build wealth without putting any money into it is a recipe for disaster and the sales pitch of gurus trying to steal your money. A wise investor will not try to get rich quick with shortcuts. If you can't keep control of your personal finances, you are highly unlikely to succeed in real estate investing. Check out my personal favorite, Set For Life by Scott Trench , or The Total Money Makeover by Dave Ramsey.

3. As you read these books, watch the biggerpockets podcasts. This will help clarify and reinforce what you are reading. You can hear real-world examples of how others have built their investment portfolio and (hopefully) learn to avoid their mistakes.

4. Now you need to figure out how to find deals and pay for them. Again, the BiggerPockets store has some books for this or you can learn by watching podcasts, reading blogs, and interacting on the forum. There is a handy search bar in the upper right that makes it easy to find previous discussions, blogs, podcasts, and other resources. Biggerpockets also has a calculator you can use to analyze deals and I highly recommend you start this as soon as possible, even if you are not ready to buy. If you consistently analyze properties, it will be much easier to recognize a good deal when it shows up. Find Brandon's videos on YouTube for the "four square" method of analyzing homes and practice. It doesn't take long to learn how to spot a good deal.

5. Study the market. You can learn to do this on your own or get a rockstar REALTOR to lead the way. I highly recommend a well-qualified REALTOR that works with investors and knows how to best help you.

6. Jump in! Far too many get stuck in the "paralysis by analysis" stage, thinking they just don't know enough to get started. The truth is, you could read 100 books and still not know enough because certain things need to be learned through trial-and-error. You don't need to know everything to get started; you just need a foundation to build on and the rest will come through experience and then refining your education.

You can build a basic understanding of investing in 3-6 months. How long it takes to be financially ready is different for everyone. Once you're ready, create a goal (e.g. "I will buy at least one single-family home, duplex, triplex, or fourplex before the end of 2019") and then do it. Real estate investing is a pretty forgiving world and the average person can still make money even with some pretty big mistakes.

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Dan SheeksPro Member

Rental Property Investor · Denver, CO · Member since 2016 · 621 posts · 362 votes

4y

Hey @Lena Michelle!

Congrats on your ambition!

You should check out the book I wrote (published by Bigger Pockets) as it's perfect for you: First to a Million.

In addition, DM me if you are interested in an online community of young, like-minded individuals.

Best of luck to you! Dan

[email protected]Podcast Guest on Show #179

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I need feed for my plan to get into real estate and build wealth

I need feed for my plan to get into real estate and build wealth

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