New, Eager, and Love to learn!

[John Carr]

Hey all,

First post here, but have been absorbing the BP podcast every second I can. I have very little real estate experience, I own just my home, fairly knowledgeable in investing, but now I want to bring the two together.

I've spent time doing my homework to get ready for the leap. Everyday I review learn something new, via podcast, book, taking to friends, that I use to revise the plan.  The basics are shown below. Any holes that can be seen? Am I not accounting for a pitfall that I haven't learned about yet? Another set of eyes or 100 sets ;) would be great!

Over all goal: build generational wealth to support my family long after I'm gone.

Short term plan: partner with each of my children (4), to house hack single family or multifamily homes to launch our portfolio. 

Long term plan: Eventually branch out into short term rentals. As of right now, I am working with a buy and hold strategy. 

First property target area: Kissimmee Florida, child works for Disney and lives in the area, I am in IL. They currently have a roommate that would move into the new property and continue to pay their share of the rent. Child not keen on bringing in additional roommates, hence moving towards MFH. Still defining our buy box.

Timeline: Child currently in a lease, set to end in June '24. Start actively looking for new property in March, close by May, allowing a month for any repairs needed.

Core 4: RE Agent found and have been actively communicating. Mortgage broker found, set up first part of pre-approval to find a range, on stand by once we start our search. Still need to find a contractor and PM. Since, I have the extra time to wait, should I retain an attorney and a CPA now? I assume, while starting out, just like when I bought my PR, the agent has an attorney on stand by that can help with this deal? At what point do I need a dedicated attorney and CPA? I currently use my local CPA at HR Block, in conversations with her, she is involved in RE investing as well, and seems to be knowledgeable. Insurance, am I good to just stick with my State farm agent, or do I need someone who specializes in real estate investments?

Thanks for taking the time to read my post. I am looking forward to learning and growing with my new found community!

JC

[Nicholas L.]

@John Carr

I hear you, it's a great way to reduce the down payment, but I think it just complicates everything right out of the gate.

There are lots of ways to invest that don't involve a conventional mortgage with 20% down... they're just all more difficult.

If you start local, you can invest a lot of time. Find all the REIA meetings within a 2 hour radius and go to them. Join all the investor Facebook groups. Talk to lenders, talk to agents, talk to contractors, talk to property managers. Go walk 50 properties, some on market some off. Drive for dollars.