Updated 11 months ago on . Most recent reply
in need of some advice/guidance
Hi, im 22 years old and I have the resources to get stated in real estate by buying a foreclosure and rehabbing it. The problem I’m facing is that I’m having trouble just doing it. I think i’m experiencing some anaylysis paralysis (the feeling of being unable to start something due to overthinking and/or over researching the situation.) So I guess my question is how did you guys just take the leap and just do it when it comes to this? Any advice and hearing your experiences would be great, thank you!
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@Christian Licata I realized I wasn't going to get anywhere just sitting on the sidelines and so I spent several weeks analyzing my target market and ended up choosing a SFH that was in a great location. It had strong cash flow potential at the beginning.
Unfortunately being a rookie I went with an inspector that came from a company that had a solid website and the inspection failed to spot many items.
As we got into what was supposed to be just a cosmetic rehab we uncovered several things that set me back by about 5 months and $40K.
Fast forward 5 years later and the value of this house has gone up 250%. I eventually did a refi on it to be able the purchase another property. It still cash flows solidly, about $400/month after all expenses.
My recommendation is to learn your market thoroughly and then choose a solid deal that isn’t more expensive than you can handle.
A massive renovation in your first deal isn’t always the best option because you’re learning and building your team and developing connections.
Just get started with the first one. Then the second one will be easier. No matter what don’t give up. I quit investing 26 years ago due to some setbacks and it took me another 21 years to get back in the game. It’s one regret that sticks out the most of my life is losing out on the portfolio I would have if I hadn’t originally quit.