I’ve been wanting to begin my real estate investment journey for a long time. Ive read some & purchased studied a couple of program but funding is the problem. What stategies are available to me if I dont have any cash at all?
cash helps tremendously, but really it's generally not a cash problem as much as a knowledge/talent problem
If you had 100k dropped in your lap, would you know what to do with it to make a good investment? unlikely (not to say you might not find a way to spend it). My point is that if you spend time learning, and networking you'll start to understand this business and your strategy will develop. Once you know what you're talking about, what you want to accomplish, and know people who are in the business, finding money becomes pretty easy.
if you only had a money problem, then you could just find a deal and pitch to someone with cash and have no trouble closing. Money is in abundance, talent and deals are scarce.
educate and network, both are free and they make funding much easier to get. In the meantime, save every single penny you can, this shows you're willing to make the same sacrifice that you'll be asking many others to make with you. aka skin in the game
Money, knowledge and credit are the three things necessary to be an investor. Many people have two, one or none of these components. A very small percentage have all three but that is not the norm.
At BP, the education is free for the most part. The podcast are free.
You must apply the knowledge and network with people. I don't think I would have gotten off the ground with out attending REIA meetings, meetups and property tours. I became a sponge and took it all in. Eventually I dove in but not after I listened to numerous podcast, attended numerous REIA meetings and met people face to face with like minded ideas. Real Estate investing is a people business.
Other Peoples Money is found by networking, it is rare to find it online only. If you found a private investor you need to ask yourself why would they invest with me. Without experience they probably are not going to. Partner with someone to get the experience. You may need a mentor to start the process. We all learn differently and some need a little or a lot of hand holding in order to get the ball rolling.
using their site gets you $500 off and two ppl for one price.
It did cost me about $3500 for the year, that price included both my Husband and I, we signed up about a month ago and so far we are at over $60k in business lines of credit and still waiting to hear back on a few cards. I was was nervous about dropping money to get more money, but we had exhausted all other options and were gettting impatient and I can say it is worth it now, since we will move on our next property later this month!
There are tons of ways to do this, this is just the option I used personally and I am happy with it so far. I good thing to know is with these cards, (which are 0% interest for 12-18months) you pay 1% of what ever balance is on the cards. That info wasnt really available anywhere so, thought I would save you the time trying to find it.
@Kenyetta Overton I dont want to be discouraging, but doesnt the word "investing" indicates that you are supposed to have something to invest? In any case, I hardly believe you can squize money from real estate, unless your relative or friend will agree to see their house for the half of the price and you can find a real investor to buy it for 2/3 of the price.
I agree with the strategies above, how about bird dogging for wholesalers, as a way to learn, even if you make a a small amount you will build up some capital. Attend RE meet ups and let wholesalers know you want to learn, and ask what they will pay for a lead. Even a few hundred is more than you have and will be worth more than some program you are paying for. Start walking neighborhoods and familiarize yourself with what the prices before and after flip in those neighborhoods.
Listen to BP podcasts all the time. ALL the time. Focus on the ones that are beginners. Someone with 1000 units started somewhere, but it can be a bit daunting to listen to those.
I don't know what the air b-n-b laws are in your city, but how about renting out part of your house to gain income?
@Kenyetta Overton Other contributors have given a lot of good information. This is what I consider an introductory book from Brandon Turner. Download and read it
@Kenyetta Overton
BiggerPockets.com/events
Not sure what’s in your area, but there a number of meetups near me which I found through the above link. Hope it helps.
@Dominique Pereira thank you for your insight. The education piece will be my 1st step. Since I don’t drive cherry hill although close is not feasible for me bc like most places outside of Philly are not public transportation friendly but I’m not going to let that stop me. I’ll do what I can where I am.
@Kenyetta Overton
BiggerPockets.com/events
Not sure what’s in your area, but there a number of meetups near me which I found through the above link. Hope it helps.
James
Thanks for replying. I've been researching meetups in my area. Many are outside of the city of Philadelphia (Cherry Hill, Upper Northeast (still Philly but far), etc.), but I think I've found a few directly in town where I am able to easily travel. I'm attending an event next week.