Young broke and bad credit

26 Replies

Hello , bp

I'm a young man that lives in Central New jersey
who would love to get started in real estate investing I've been reading a few books and I'm starting to get the knowledge with out actually doing any actions to perfect the passion.

I've tried the gurus way wholesales but everything I find is on the mls and I don't have capital to tie up the property

I've tried to buy a foreclosed house numbers were right but by time the closing happened the market changes so fast the the lender backed out and I lost 5000, from small mistakes.

I want to start everything right away but

A
I wanted to see if there's a mentor who can help me out on deals or at least a partner who can help

B is there anyone that can help with my credit and fast . I would need credit for creative financing of course

C I know a few hard money lenders that would do 100% under certain circumstances but is there anywhere or anyway I can start making capital to do phase one of my business and get pulled out of this sink hole then go to phase two which is actually build the business

quit wasting your time on get rich quick.. save your money fix your credit.. if you want in the game get in the game.. instead of doing what 95 of those dreamers do an drop 5k on mailers or whatever and simply lose it.. use that money to get a RE license and a REal education in the industry.. then go to work for a brokerage that specializes in what you want to do.. this is where you will actually find a mentor.. get on a sales team.. go to work as a apprentice in a commercial brokerage get paid to learn .. this BS of thinking you can go from zero to RE investor with no money and no credit is a fast way to total and absolute failure  in the industry.. you will end up doing something else until you climb out and realize you need both money and credit to be a successful investor.  Or you can listen to all the dream merchants out there.

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I'm looking for a new partner and am an agent in north bunswick I don't have much capital but do have experience and my dad owns a construction company please email me if you would like to work together!

@Daniel Gomez   Mr. Gomez I can see your a new poster to BP.. its against the rules to self promote on the open forum.. if your offering credit repair services you need to up grade to Pro and do so on the market place the mods will take your post down.

In addition @Ryan Dossey   Ryan is referring to the so many scammers who offer this exact service IE credit repair and business loans to folks who could not in your wildest dreams get either but will waste hundreds of dollars with companies like yours on again another dream merchant.. I think that is what he was trying to convey..  

So if your in credit repair and loan business get a pro account and put your shingle and advertisemetns over there. as stated the mods will take your post down most of the time.

Originally posted by @Jay Hinrichs :

@Daniel Gomez  Mr. Gomez I can see your a new poster to BP.. its against the rules to self promote on the open forum.. if your offering credit repair services you need to up grade to Pro and do so on the market place the mods will take your post down.

In addition @Ryan Dossey   Ryan is referring to the so many scammers who offer this exact service IE credit repair and business loans to folks who could not in your wildest dreams get either but will waste hundreds of dollars with companies like yours on again another dream merchant.. I think that is what he was trying to convey..  

So if your in credit repair and loan business get a pro account and put your shingle and advertisemetns over there. as stated the mods will take your post down most of the time.

 I apologize for that and was not aware of that rule. I will edit that post. There was no need for him to respond that way.

@Daniel Gomez   No problem U should have seen the scolding's I got from the management when I first started on this site.. darn near got banned a few times.

Although to be quite frank.. there is a fair amount of skepticism on this site with regard to credit repair and business loans to those who on the face could never ever qualify for one..

the thought process is those pitching those just suck them in to get 200 to 500 bucks never perform and move on.. so you have some challenge ahead of you on this site to sell those services.. at least from my perspective

@Daniel Gomez

You're absolutely right. I could have done that in a much more polite way. It doesn't look good when you're on post #2 and selling folks on your services. We get a lot of folks on this site that "hunt" new members and try to monetize them. Most of them last for 10-15 posts and vanish. Some of us that have been around awhile can get a little protective. Please accept my apology. When in doubt just PM one of the moderators. I've had some posts that I thought were okay and weren't. Welcome to the site! 

@Jay Hinrichs So that's how I should have done that! :) 

This subject is particularly touchy with me. I did some financial counseling for my Grandpa. One of his friends kept getting screwed by credit pair/connect you with my lender types. The guys was 80 years old and kept falling for the same dang thing. 

Like the guy above my last post... No picture, 3 posts, and promoting a site/service none of us have heard of. 

Originally posted by @Jay Hinrichs :

@Daniel Gomez  No problem U should have seen the scolding's I got from the management when I first started on this site.. darn near got banned a few times.

Although to be quite frank.. there is a fair amount of skepticism on this site with regard to credit repair and business loans to those who on the face could never ever qualify for one..

the thought process is those pitching those just suck them in to get 200 to 500 bucks never perform and move on.. so you have some challenge ahead of you on this site to sell those services.. at least from my perspective

 I agree Jay, and there is some truth to that fact that there have been companies in the past that have screwed people over and have given a bad name to the Industry. Credit Repair services do work, you just have to do your due diligence in choosing the right company to work with. I was just trying to help the guy out as I have been in a similar situation in the past. I do apologize once again as I was not fully aware of the rules on this forum.

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Originally posted by @Ryan Dossey :

Like the guy above my last post... No picture, 3 posts, and promoting a site/service none of us have heard of. 

 I understand your point, but it was not my intention to cause any problem. As you can see I have picture of my self in my profile. There are many companies out there that many of us have not heard of, if you need any info to verify our legitimacy feel free to contact me privately. To add we are affiliated with another well known company that has been the topic of discussion on this board that members have used for their funding services.

Originally posted by @Ryan Dossey :

Like the guy above my last post... No picture, 3 posts, and promoting a site/service none of us have heard of. 

 No worries Ryan, I definitely understand were you are coming from. But thanks for the heads up.

@Jay Hinrichs I just love your replies!! I think you are right in guiding him pass the dream merchants and telling him to get right in the game!! He definitely does not want to waste money on any wholesaling course or anything like that. @Lombosco Dixon There is a ton of free information all over the web and no need for paying some guy to tell you something that you can take the time and research for yourself. I would recommend getting with some of the local wholesalers in his area and having them recommend free programs and their techniques to start off. YouTube has a TON of information!!! Try starting there.. Do not waste money you don't have starting off!!!

@Lombosco Dixon my office currently has 3 interns that started out very similarly to your current situation.

they are now all kicking *** and have over the top knowledge and confidence in this business.  one of them as actually doing there first deal currently.

so go find some of the most successful investment companies in your area and tell them you will work for them for NOTHING.  This will get you up to speed quickly and will give you all the tools you need to get rolling very quickly.  

A. - Bring an investor good deals and he will give you his time.  Most investors aren't interested in mentorships.  They are out there, but you will probably pay a good bit.

B. - Try a credit repair company

C.  - I am in your market and don't any 100% no money down hard money lenders that actually close deals.

My suggestion would be to learn to market and wholesale first.  If you crack that nut, you can make it.  It is not hard, but it takes discipline and commitment.  

@Lombosco Dixon Your credit is irrelevant. I buy houses all the time and nobody ever asks me what my credit is because I dont buy from the MLS. The good deals are never on the MLS. The problem with the MLS is that everyone with an internet connection can find a property on the MLS so the second that it is listed the tigers pounce on the good deals (actually the good deals get sold before they should up publicly)

What you need to do is to learn how to buy creatively.  BP is a great place for that. 

You need to start with your marketing. You NEED to be actively marketing to people who aren't currently selling their property or who are trying to sell but suck at it. 

Once you find on of the thousands of people who could potentially be a motivated seller, the big question for them is "why are you selling"  Burned out landlords, owners of vacant property, out of state owners, people going through divorce, pre foreclosure, and inherited property are all good searches.  

Once you know what their problem is then you can craft an offer that will help them out of their problem. You may even want to learn multiple offer strategies.  

Don't worry about screwing up your offers, you will do that, but screwing up is part of the learning process. 

Now this is super important!!!!!!!!!!!!!!!!!!!!!!!!!!!

I dont want you losing any more money, that was a tax for being uneducated.  From now on I want you to make your offers with an option rather than a purchase and sale agreement. This gives you the option but not the obligation to buy a property, so if you can't close (wholesale it) Then you just get your deposit money back. Go to your local RE attorney and ask them to either create one or modify one so that it fits your state law.  Now you are going to want to chose your lawyer wisely since this is the person who will close your deals for you. 

I hope that helps. 

Originally posted by @Lombosco Dixon :

Hello , bp

I'm a young man that lives in Central New jersey
who would love to get started in real estate investing I've been reading a few books and I'm starting to get the knowledge with out actually doing any actions to perfect the passion.

I've tried the gurus way wholesales but everything I find is on the mls and I don't have capital to tie up the property

I've tried to buy a foreclosed house numbers were right but by time the closing happened the market changes so fast the the lender backed out and I lost 5000, from small mistakes.

I want to start everything right away but

A
I wanted to see if there's a mentor who can help me out on deals or at least a partner who can help

B is there anyone that can help with my credit and fast . I would need credit for creative financing of course

C I know a few hard money lenders that would do 100% under certain circumstances but is there anywhere or anyway I can start making capital to do phase one of my business and get pulled out of this sink hole then go to phase two which is actually build the business

 Investing is great if you have extra income to prepare for the future and to possible increase your wealth.  It is also slow for the most part.  

I think your main focus is to generate enough income to save and be comfortable.  I always treat my life like a business.  So my goal is to try and save 20% NET of my income every month.  I live on the rest.  If you ever read "The Richest Man In Babylon".  It explains save 10%,  well times have changed and in my opinion it is now 20%.  Once you can easily save 20% and you are living the way you feel good about.  Than take the 20% that you have saved over years and buy a investment. 

I also have read many books on RE investing.  Often the books explain in minor detail what goes on behind the curtains. Owning a investment property takes cash to operate.  You need to have set aside a good $5000 or more cash just for emergency money if something goes wrong. I am saying a $5000.00 and my thought are you would buy a property under $80,000. 

Maybe for starting try buying promissory notes or delinquent tax liens.  This can be a cheaper form of passive income.  Passive income is what you and everyone here is wanting.  Join a investors group.  Often these groups have trading day and you can get into these deals.

Good luck and I hope this helps  

@Brian Johnson  That is by far one of the books that has dramatically changed my life. Thank you for sharing that with the community. My whole life i now structured this way and I only live on a fraction of my income. Even when I think i'am going into my necessities way too much I remember "ooo I still have a ton that I saved on the side" it because automatic. I would recommend "Money: master the game" by tony Robbins as well. "The intelligent Investor" by Benjamin Grahm. Millionaire Mind by T. Harv Eker.

@Lombosco Dixon - remember this is a journey, not a destination. You will have to take on challenges one at a time. But then again, just get started. You'll fall and get back up. Choose your niche and market. Go for it. Then looking back you'll be able to connect all the dots.