hello everyone, im 20yrs old in the USAF.. i have about 15k saved up, and i would like to get involved in investing. what exactly should i do? i was thinkin more the lines on getting a loan for a house around 100k, use the 15k as a down payment and flip the house for 115k or something.. does that sound about right? any other ideas, thanks
Real Estate Investor · San Diego, CA · Member since 2008 · 7 posts · 1 vote
20y
kleancut,
don't get discouraged. although these folks are right in saying what they are saying, your experience in flipping cars is a bonus and will help you in this business. as christy suggested, i would certainly spend some time learning more about real estate before you make any sudden moves. the terms will come as you read and learn more... and btw, thank you for your service to our country.
You make it sound waaayyyy to easy. How do you plan on acquiring it? Foreclosure, pre-foreclosure, HUD home, REO, motivated seller, etc.? Who will do the rehabs and cover the costs?
Dayton, OH · Member since 2008 · 517 posts · 17 votes
20y
There are lots of ways to go, but bsodders05 is right. If you are just starting out then you are probably best served by getting a mentor in your local area and asking them for some advice on how to proceed. Bird dogging is a good way to get your feet wet (if you have a mentor). If you want an "easy" way to make money then you could become a private investor and loan out the $15K to other investors.
You make it sound waaayyyy to easy. How do you plan on acquiring it? Foreclosure, pre-foreclosure, HUD home, REO, motivated seller, etc.? Who will do the rehabs and cover the costs?
i kno it way more complex but i didnt kno how to put it... and i dont kno what the defintion are any of them terms you used, im so new.
Originally posted by "juzamjedi":
There are lots of ways to go, but bsodders05 is right. If you are just starting out then you are probably best served by getting a mentor in your local area and asking them for some advice on how to proceed. Bird dogging is a good way to get your feet wet (if you have a mentor). If you want an "easy" way to make money then you could become a private investor and loan out the $15K to other investors.
how much profit would i make in by loaning out my 15k to other investors and how quick can i make profit? thanks guys
dang, that aint alot at all, ill make 5 grand in 6 months jus flipping used cars, thats how i got 15k... im jus tired of flipping cars, i want to go something bigger. how does this sounds.. and again i dont mean to make it sound so easy...
buy a 50k small house, remodel (costing 4k maybe) and flip it for about 75k...?? am i missing out on something cuz it seems to easy..please help me out
I am a newbie also and plan to start investing in the near future. There are a lot of things you can do in real estate. My suggestion is to make a plan. Do you want rentals or rehab and retail? Remember you make your money when you buy, not when you sell. Always do your due diligence. Here's a general formula that I've seen in several places that I intend to follow:
Maximum Offer Price=(20% Profit)-(10% contingency)-Repair Costs
Example: Repair Costs=5k...I would offer no more than 65k on a 100k fmv home
Rehab=Rehabilitate. Buy low sell high by acquring properties that need work/repairs....
Really before doing anything you should read up on RE investing. Go to Barnes and Nobles and pick up a book on RE investing. Probably will cost you 15 bucks, but it's well worth it. You will understand a lot of the talk on this forum strictly from reading a good book....
yes. go to Amazon.com or bn.com and type real estate investing in the search area. You will have thousands to choose from. Also, don't forget about ebay. You can find some really good guru programs that people are reselling.
Real Estate Investor · San Diego, CA · Member since 2008 · 7 posts · 1 vote
20y
kleancut,
don't get discouraged. although these folks are right in saying what they are saying, your experience in flipping cars is a bonus and will help you in this business. as christy suggested, i would certainly spend some time learning more about real estate before you make any sudden moves. the terms will come as you read and learn more... and btw, thank you for your service to our country.
don't get discouraged. although these folks are right in saying what they are saying, your experience in flipping cars is a bonus and will help you in this business. as christy suggested, i would certainly spend some time learning more about real estate before you make any sudden moves. the terms will come as you read and learn more... and btw, thank you for your service to our country.
thank you thank you..i thought flippign houses would be jus as easy as flippin cars but jus with a little more extra money, but as i can see its ALOT more complex.. :cry: and id have to admit, im not a reader, id hate to say it but i dont enjoy reading at all.
Originally posted by "Judson":
I love your enthusiasm! A good way to learn more is to find a local real estate investors association. www.nationalreia.com will help you find one. Listen to what those people say and learn from the successful ones. And don't part with your 15k because someone tells you they have a good deal for you :wink:
thanks man, im gona check that out... that sort of reminds me. how do you guys feel about partnerships, do you recommend it, or even with a stranger?
in todays classifieds i found a this - TRIPLEX - 112 Andy Street $35,000 / obo. Approximate Tax value $84,000. ... i jumped on yahoo maps and took my self there.. wondering why it was so cheap, i found out quick... when i arrived at the house, i realized i was in the ghetto; crackhead/hooker neighborhood... my car was then attacked by 3 hookers, it was kinda funny..and nasty. anyways i left. end of story, lol.
Real Estate Investor · Landing, NJ · Member since 2008 · 17 posts · 2 votes
20y
KleanCut, What NanCo means by a team is your real estate attorney, a real estate agent if possible (to help you find good deals and comparable properties to appraise yours against), your general contractor or sub contractors, and either private investors, hard money lenders, or banks/mortgage company. You don't need a "partner". Flipping real estate is very similar to flipping cars, just somewhat more involved and takes longer.
Many banks/mortgage companies won't lend on flip properties if they need too much work; you need hml or private investors to complete the rehab then refinance with the bank if your keeping it to rent.
MOST IMPORTANTLY, you should go into the archives of this forum to find the correct formula to help you calculate your profit on any given property - profits should already by known when you purchase.