Having just recently bought my first property, I know for myself what was holding me back was the fear that I would overpay, especially in this type of a market. I would get analysis paralysis and basically talk myself out of every property I looked at.
I am looking to buy my first fix and flip in the Seattle market but needing to network more to find some private money. Have a couple workshops this and next week I’m attending to help with my networking.
Great. Education and Networking are the 2 top ways to be successful in Real Estate.
@Frank Patalano Money. I think it is hard to invest out of state for my first deal because of money. But I can’t find any great deals where I am where I could use owner financing.
Why is it harder to invest out of state because of money? I saw $50K houses in Akron, OH yesterday. If you have time, you can wholesale or figure out other ways to get paid to help other real estate investors.
Yes I agree that owner financing is harder to find in the current market. When you say owner finance, how much can you put down?
@Frank Patalano It is harder because you can’t do owner financing, which means more money. Of which I’m already lacking. I honestly don’t want to put much into a down payment so I’ve just been looking at first time programs that pay up to a certain amount in down payments. Then I can start investing with minimal buy in. At least that’s the goal, obviously hasn’t worked out since I haven’t done my first deal yet.
@Frank Patalano It is harder because you can’t do owner financing, which means more money. Of which I’m already lacking. I honestly don’t want to put much into a down payment so I’ve just been looking at first time programs that pay up to a certain amount in down payments. Then I can start investing with minimal buy in. At least that’s the goal, obviously hasn’t worked out since I haven’t done my first deal yet.
Technically you could do seller financing on out of state properties. I mean its possible.
Sounds like you are trying to hit a home run on your first deal. I mean I have down no money down deals but they are Quite Rare. Where are you looking for these types of deals? Right on MLS?
@Frank Patalano unable to qualify for mortgage because I've recently switched jobs. I'm working on a deal with a family friend to get some funding so I can get a deal under my belt.
@Frank Patalano unable to qualify for mortgage because I've recently switched jobs. I'm working on a deal with a family friend to get some funding so I can get a deal under my belt.
Sounds like you are already on the road with a solution to your own problem.
@Frank Patalano I’m ready to scale my business but need capital. I’m just starting to round up friends and family with capital who want to invest but don’t have the time or knowledge. I understand this is a complicated process, but I’m excited for the challenge.
@Frank Patalano First let me applaud you for starting this thread and faithfully engaging with all those who are replying. I would imagine that you had no issue that this thread would get this type of response. Thank you for your ideas. I guess my current strategy is a pretty easy path or so I thought. I agree it is time to roll up my sleeves and do the grind work which normally have more profit potential. I really wanted to get my first deal under my belt to make some money while I develop a more targeted strategy. I guess nothing comes easy no matter how many times you read on the internet that it does. Thanks again. I look forward to posting my success.
For me, my biggest hold back was funding. Being from Canada I am really cautious of lenders. I have had several contact me and send me forms and say they will lend me the money, but how do I know these people are legit?
I have the same experience and if they do not prove that money comes from legal source (AML policy) and offer interest rate at 6% and have FB account since few weeks max with very few posts you are more than sure it is a #scam 💥✅
I'm really targeting college or commuter towns outside Boston area...I have 5 units now in East Boston, 2 i bought in 1999 by being very determined (later story) 😊& 3 others i inherited/rehabbed and increase rent roll by doing so...
but being 56 now i feel very passionate about bringing it to a new level. Being self-employed, these are retirement moves to increase monthly income. I am no problem going as far as New Haven (Yale area) , but because of distance, dont want an "I told you so" from spouse who rather buy closer.
My goal is to buy 2 more in the next 2/3 years...I have the 20% down, just want to target a good 1.
The good part is that I'm looking all over, Manchester NH to Providence to New Haven.
My original farm area was RI .
Still searching. I'm patient, just really obsessed in getting this 1st intentional move.
Thanks for Professionals like you for being there.
The thing that is holding me back is the ability to find that one investor that looks at the asset and not the amount of cash I have on hand. life happens to everyone at some point. I am the type that likes to have everything lined up In order and am learning that it’s not always possible when investing in real estate.
So pulling the trigger is hard due financial position m
@Stephen Scire, If you have the time on Wednesday evenings you could come up to the monthly meetups in Manchester, NH or Nashua to continue networking.
Do you know realtors in the primary areas you are targeting?
I'm worried that we're in the 11th hour, and the economy is going to turn south. And, like most people, I'm sure, I feel like a lack of confidence in the research (have I done enough? is it the right research? is it accurate?) is holding me back because I worry about making a misstep (buying in an area where I overestimate potential, overextending myself, etc.)
Good question: For me, I have 10 multifamily homes that I rent out in Detroit. Though I want to move forward, I can't keep buying properties for cash. I would prefer to get into small apartment buildings but I do not fit the bank's criteria because of a bad credit record but I have these properties that are income producing.
I'm worried that we're in the 11th hour, and the economy is going to turn south. And, like most people, I'm sure, I feel like a lack of confidence in the research (have I done enough? is it the right research? is it accurate?) is holding me back because I worry about making a misstep (buying in an area where I overestimate potential, overextending myself, etc.)
I agree, but then I hear everyone saying if it cash flows buy it! Any you can't time the market, don't keep waiting, etc. And, what if the top isn't for another year? 2 years? Or what if it crashes next month?
@Frank Patalano I’m ready to scale my business but need capital. I’m just starting to round up friends and family with capital who want to invest but don’t have the time or knowledge. I understand this is a complicated process, but I’m excited for the challenge.
Nice. It will be interesting to see how you structure your deals and what percentage ownership that you take.
@Frank Patalano First let me applaud you for starting this thread and faithfully engaging with all those who are replying. I would imagine that you had no issue that this thread would get this type of response. Thank you for your ideas. I guess my current strategy is a pretty easy path or so I thought. I agree it is time to roll up my sleeves and do the grind work which normally have more profit potential. I really wanted to get my first deal under my belt to make some money while I develop a more targeted strategy. I guess nothing comes easy no matter how many times you read on the internet that it does. Thanks again. I look forward to posting my success.
Garrett good luck to your success. What is your current strategy? The first deal will always be a learning experience.
The lack of financing alternatives for me. I am a foreigner and I am living outside USA, so it is very hard to find a loan to buy a rental property.
I am searching for these types of loans in order to be able to get a better CoC return and to be able to invest in more properties.
Are there any real estate investment clubs in Bogota? Around here we have groups that meet monthly. They are often educational in nature but also great for networking. In my local group we have 6 hard money lenders. There's got to be somebody willing to lend you money. If not perhaps you might need to visit United States and Network with people who want to own foreign assets. I have met people who have considered it. There was an American that I met before that lived in Ecuador full-time.