How does one actually “start”?
Hi! I’m Christine.
I need help. I decided almost 10 years ago that I wanted to become a REI. My grandfather had multiple rental properties and at a young age I understood the benefits and was intrigued. No sooner had I made my decision, I learned of my husbands infidelity and began the long, ugly divorce process. Once the dust settled this is what I was left with: single, marital house foreclosed, homeless, four kids under 10, jobless and flat broke. No 401k, no cash or assets anywhere.
Through these past ten years, I moved myself and my kids in with a friend, found a job (during ex’s affair and divorce I was in school to become a registered nurse), found a rental property to rent, then worked on my credit and saved for a house.
In 2019 I bought a house! I was so focused on getting a home for me and my kids the REI plan was on hold but let me tell you, when I was looking for a home to buy, I was so tempted to buy a multi-family. I even looked at a bunch. Unfortunately, with four kids, I struggled finding something suitable. In the end, I bought a single family colonial. Life was good… until covid hit and some various health conditions left me out of work, depleting saving and racking up debt. My credit was 720 and is now low 500's.
Here is what I have done so far to rectify this mess:
I am currently paying a law office to assist me with settlements or payoffs to these creditors and medical bills.
I am not using credit cards.
I can save $1k a week from my normal pay. If I work one extra shift a week (4, 12 hour shifts instead of 3) I could save closer to $2k per week depending on how much is taken out for taxes.
I am educating myself, sticking my neck out asking questions, and networking.
So where do I start? Do I just save and then start once I have enough money saved? Do I speak to a financial advisor about these details and come up with a plan of action or something? Do I stop looking at real estate until I have sufficient cash on hand?
The small multi-family properties in my state, Connecticut, are, well, a lot. 2 unit homes are closing around $280-$300k. I feel like this is an impossible climb. I do not want to sell my current home. I can’t refinance to take out the approximate 100-110k equity I have in it- (lousy credit).
I feel like a deer caught in headlights. I don’t even know what to really ask help for so any insight, advice, tips etc is welcomed.
Oh, I am 46, I have zero retirement saved. I know I’m a mess and a bit embarrassed posting here exposing myself to all of you. I’m determined to changing my financial situation. I will not be that 80 year old nurse still working. Please be kind.