I put money into these guru seminar and now my credit score is low, credit cards maxed out , no deal . Stressed out , any tips or advice? I'm all ears...
Only advice I can give is stay away from gurus! Find someone in the business that will teach you for free or just spend some time on the forums here, there is alot of useful information here.
@Samantha Klein thanks ! The podcast was an eye opener
@Pati Tanielu what are you looking to do from an investing standpoint? The forums and resources here can be super helpful. I'm not one to knock gurus but ultimately it boils down to you: what are you doing to ensure your success? Are you looking at properties? Evaluating potential deals? Making offers? Networking with other investors, agents, lenders? Securing private lenders to fund your potential deals? Going to REIA meetings or bigger pockets meet ups?
I highly encourage you to pick one strategy, figure out the controllable tasks, set some daily goals based on controllable things (e.g. phone calls, emails sent, offers delivered, # of properties to evaluate, etc.) and then focus on meeting or exceeding those daily/weekly goals.
I'd also suggest finding a local investor who will let you shadow him or her so you can see what they do. I hope it helps and good luck!
@Marvin McTaw , yeah analyzing deals, due diligence, , build business,driving for dollars, build marketing strategies like building website , bandit signs , networked with PML, HML, Realtors,Investors. Maybe what I'm lacking is setting hard goals and scaling them .. also making offers.!!!!!! Thanks for the help , needed that.
Think on the bright side. Hopefully there was something to be learned at the seminar. Use that knowledge and keep learning at here also. Consider this just the cost of doing business and just get back up and stay in the game. If you quit now it will become a failure. If you never quit, you will never fail.
@Pati Tanielu You are trying to do too many things. Hone in on one strategy and try implementing. You could start fairly small by getting a RE license and working out a deal with a brokerage where they don't hold you to sales targets and start putting low offers out there to see which ones come back. Realtors I have worked with are not helpful to investors when putting in a low offer. So, it makes sense if you could take control of that. Once you get enough experience there and get a few deals under your belt you can branch out.
@Kaz M. , I agree with you on that ! I'm not giving up, I kinda need little guidance. Which you all have done! Thanks
@Abdul Azeez , I agree with you. Someone else I met in a network meeting said the exact same thing , by " doing one thing at a time".. I will definitely work on that one thank you Abdul.
I was feeling the same way as you a few months back and then I got my first offer accepted. We are closing on Halloween. Keep your chin up. You will find that deal if you stay positive and do the leg work.
no matter if you pay for your education in real estate or you get it for free.. nothing happens until you MAKE it happen... however as a reality check this is a very tough business that gets glorified on TV and on sites like BP...
Its pretty tough really to start in this without significant capital especially west coast.. out in the mid west and rust belt were houses cost less than used cars.. you certainly can get going with limited funds.
So to that end I always advise if one wants in the business you need to actually get in the business and apprentice somewhere and get paid to learn NOT pay to learn GET PAID to learn.. this by being a licensed assistant to a top producer.. either resi or commercial or leasing.. or going into the mortgage field etc etc.. At least you have some income while you learn..
Guru or any kind of paid training is good for those that can afford it.. although look at all the college students who have student loans.. no difference instead of a student loan you have credit card debt. this is something I do not agree with .. when it comes to selling education... but then again there are many companies we heard about were they boot strapped it with their CC and now have a thriving business some empires.. Generally NOT in real estate though.
this business cost MONEY to do.. driving around requires a car and gas.. bandit signs you have pay for plus drive them around and put them out.. if you do direct mail that is very expensive if its to be effective..
So that's my feedback.. for the what ever its worth file LOL
I'm happy for you that you've landed at Bigger Pockets. This site will do you a lot more good than any guru out there. You have many professionals on this site such as @Jay Hinrichs who are overly helpful to people starting out.
I think a great strategy to get started is house hacking. In other words, buy a duplex, triplex or quad, live in one unit and rent out the others. If you structure the deal correctly, you can be saving money by living nearly rent free because your tenants are paying the majority of the mortgage, taxes, insurance and PMI assuming that require it.
The second benefit to house hacking is that you're obtaining equity over time. That is, your tenants are paying down your mortgage for you and essentially are buying your house for you as well. This gives you ownership of the house which you can then borrow against using a HELOC or a cash out refi to buy another property.
This strategy works IFF you get in on good deals and if you're comfortable using some leverage.
Please reach out at any time if you'd like to chat some more.
Best of luck to you!
@Pati Tanielu I put money into Gurus too- it happens to the best of us.
I did learn stuff, and honestly without that I never would have looked into real estate investing as silly as that sounds. I just literally didn't know there were ways to do it aside from save money buy properties.
So it ultimately opened my eyes to this website, the whole world of investing, and I did learn some information from it.
Consider it your first expense in your education and just use momentum to move forward. Cut back your budget as much as possible right now and Pay down those CC ASAP while focusing on lower cost deals.
Look into partnering with someone who has funding for deals and more experience. Look into driving for dollars focused list mailings. Keep costs down but keep momentum going while you repair your credit.
My wife and I did the same, we went to Rich Dad Poor Dad seminar about Real Estate Investing, the guy speaking was pretty good, he probably got more than half the crowd to buy into the 3 day training. it sounded really great. I went home and started reading about the training and it was exactly what Brandon said about Gurus getting people to buy more training, spending way more than they thought they would. And at the same time not really learning anything that was promised at the 3 day training. Luckily they had 3 day return policy and I got my refund.
And that is how I found bigger pocket, I searched free Real Estate Education. Awesome site providing great information. I'm brand new and still trying to real estate investing, I hoping to find a rental property next couple months.
The gurus are about taking your money for their time and knowledge. I don't think they are about making deals for you unless you make the deals yourself and give them the credit for helping you. I ordered a couple of cheap courses and before I even read or studied the courses, I got phone calls from those creeps trying to sell me on mentoring. Mentoring is were the big bucks are spent. And from what I hear they take your money up front and do nothing for your the small guy.
There is enough information from people who done it and advertising from suppliers that you can use to pull it all together and do deals yourself. The only thing I haven't seen is the contractor piece of the puzzle. I'm still looking that piece of it.
LA is competitive. It might be a slower start to find deals. Most probably quit.
Jays' advice is great... get paid to learn. I should have a long time ago. The markets an hour or so outside of LA/OC proper will be less competitive/pricey too if that helps your starting out. Perhaps consider house hacking, that is buy something to live in with a fha loan and then renting rooms, duplex type etc. I have never done it but one can have liittle credit and down to qualify with fha. Also I think both LA County and LA City also have down payment asssistance programs...when I checked that was up to 60k. You take their class (free) to learn how to own a home I guess. I met a guy who did it and bought a townie for 400k (2013). Seems like a great way to go while Jays advice kicks in. Good luck!
Let's focus on getting your credit and financials in order. This should be done before trying to make your first deal. You can start by not carrying any credit card debt. Even though I buy everything with my credit card, I pay it off every month and have do so for the past 10 years. This builds good financial discipline and will boost your credit score. While you get that in order, continue your education on BP. You will then be an expert when you are ready for your first deal.
@Pati Tanielu I was one of those 1k 3-day seminars, just to test the water, I pretended I had no money, low credit and no credit card. They were talking to everyone else, and kept telling me I was next. If I said I had money to pay their highest program with my checkbook, I would expect them to act differently, anyway, they never talked to me. I was sitting next to an engineer at fedex that was thinking negatively on signing up, after 3 talks, he decided to sign up with a 30k program. I asked him 3 months later, and he said nothing has been done. Anyway, concentrate on partnering with someone who carries the financial for you, kind of hard to start without $.
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