I am trying my hand at wholesaling and finding deals for the next few months but I dont want my eggs in one basket so I will be getting my license soon as well. My end goal is to get buy and holds/self storage. Essentially the end goal is passive income. My question: what are the best first steps for an agent to be successful as well as the best way to prepare myself for passive income investments while im an agent so i can get the most out of the experience? Im trying to get myself exposed to as much of the field of real estate as possible so I can see which specific opportunity I want to throw my full weight into. I make 50k at my current job if this info helps.
Cody, Welcome to BP. Exciting times to be getting started and taking action.
Question for you: have you started to attend local meet-ups? Identified local investors / storage owners? Established a baseline of what each will be looking for from a subject property? etc... Your market is certainly is different than ours here in Grand Rapids, MI.
Frankly since you're targeting self-storage, I'm not sure if this approach would require commercial focus. I would think so.
BP is fantastic for finding local investors and networking, as well as analysis tools; however, not sure if self-storage analysis tools are available. Good luck... Hope these thoughts will help you get started.
I encourage you to take courses specifically designed for buy and hold investing in Michigan and join an association that has other investors doing what you're doing in the area you're doing it and have the ability to ask questions of their staff and their attorneys. Contact me via direct message if you want to know more.
Want to be a successful real estate agent and investor? Key words: inspect, Inspect, INSPECT! Go to see inside AND outside of properties in your area of the type you are interested in. But don't go to 10 properties on Monday and then nothing the rest of the week. This needs to be done on a regular and consistent basis. Product knowledge is the key to finding deals and being an expert in your area. Look at new listings, expired listings, and closed. NOTE: you will not be able to get the same info and gut feel for properties by looking on line or just at outsides of properties. Good luck!
Why am I inspecting the inside of these properties? How do I even find properties to get inside of in the first place?
cody I have owned self storage.. unless you can find some small mom and pop type places they are pretty significant investments.. and getting financing unless owner financed will require experience and pretty good balance sheet and liquidity..
mine was 7k sq ft of commercial on top and 44 units below.. and it was NOT passive in the sense.. you have to work it.. people come and go all the time in storage.. so you have to show them.. you have to evict you have to do auctions.. clean them get them ready for the next client.'
I got tired of managing them and put a condo plat on the storage units and sold them off individually on long term contracts.. this worked well for us..
But I think you have to be realistic going in .. like I said you might find a little kind of run down mom and pop one in one of the little cities out in the valley.. but close in just the land alone is going to be quite valuable in the north bay.. and this will take some pretty significant purchasing power.
So much information..
What is a condo plat?
This is way down the road, probably at least 5 years. What I am looking for in this answer is a way to invest in/generate passive income (not necessarily real estate). Self-storage is just what I heard a man speaking about at an in person meet up 7 months ago so it has been in the back of my mind since then.
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