Advice for jumping into the world of real estate

Advice for jumping into the world of real estate

Member since 2018 · 3 posts · 0 votes
Hello All! Background: My name is Jordan, and I graduated last year with a bachelors in finance. I am currently employed in the financial services sector (no certifications). I finished my real estate course, and just need to take the exam. I have always been one to be calculated in my approach to anything, and real estate investing would be no different. First and foremost, I have two like-minded individuals who are ready to get started in real estate, and are ready to form a partnership. I am the financial/operations guy, one partner is hands on/construction experience, and the other is people oriented/sales experience (not in real estate). A few questions- is it smart to form a partnership in real estate if you know the people you are surrounding yourself with are in it for the same reason as you? Has anyone had experience in partnerships? Also, would it make sense to form as an LLC? Finally, once all of the preliminary steps are done with getting the business legal, how would I go about financing, if we are looking at a lower money down option? Hope to hear from you all!
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Jordan MoorheadBusiness Member
Real Estate Agent · Austin, TX · Member since 2015 · 5k+ posts · 3k+ votes
8y
Hey Jordan Ginder I would also suggest starting out on your own. Get into some sort of house hacking deal and get to know real estate investing while saving as much as you can for the next deal. Get out and network and learn as much as you can!
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  • Rental Property Investor · Durham, NC · Member since 2016 · 7k+ posts · 7k+ votes
    8y
    Jordan Ginder I would suggest starting out on your own. This way you’ll gain experience and not lose someone else’s money. But you’re probably thinking, I don’t have any money. Well then you have to save, cut expenses or increase income. That’s what I would suggest. Then 3-5 years from now you do partnerships and maybe raise money
  • Jordan MoorheadBusiness Member
    Real Estate Agent · Austin, TX · Member since 2015 · 5k+ posts · 3k+ votes
    8y
    Hey Jordan Ginder I would also suggest starting out on your own. Get into some sort of house hacking deal and get to know real estate investing while saving as much as you can for the next deal. Get out and network and learn as much as you can!
  • Member since 2018 · 3 posts · 0 votes
    8y
    Jordan Moorhead @Caleb Heimsoth Thank you guys for the response! If I did decide to do it on my own, would you suggest getting started as a legal business, or claim it as personal gains for the time being, since I probably am not going to go gangbusters with getting properties for a little while. Not sure if there are any tax/legal implications of either to be aware of.
  • Investor · Taylor Mill, KY · Member since 2016 · 2k+ posts · 964 votes
    8y

    @Jordan Ginder If you went with the partnership, I'd recommend an LLC and splitting up ownership of the LLC however you all see fit. I'd also recommend an attorney to help with everything.

  • Jordan MoorheadBusiness Member
    Real Estate Agent · Austin, TX · Member since 2015 · 5k+ posts · 3k+ votes
    8y

    @Jordan Ginder with most owner occupied loans you won't be able to put the property in an LLC.

    Don't put the cart before the horse. Find a deal first, then worry about the small stuff.

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