Providence, RI · Member since 2018 · 29 posts · 409 votes
7y
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.
1) fear of making a bad decision like I don’t know enough.
2) fear that I will be taken advantage of because I don’t know enough (whatever that means).
Sounds like the same thing to me. There is no way to completely overcome those fears. Even when you gain some Education you will still worry about those things. Listen I still make some bad decisions. If you don't take a little risk once in a while then you'll never grow. Beside learning, get a partner. 2 heads are better than one. It is also a way to make less emotional decisions.
@Frank Patalano for me it’s the people who I would like to work with. I still feel the deals are out there. Especially OOS I would like to build relationship first, that’s where I find difficulty.
Also, most of the agents who say they work with investors does not know how to provide data/ analysis to convince me as an investor.
So you will find investor friendly agents through referrals.
The problem is that most agents want to work with investors but don't truly know how.
Find an agent who is investing in deals as well. That should help. Most of my agents have invested in deals with me or own investment property on their own.
To be successful in real estate you need to have one of three things, money, time, or experience. Those with a lot of time become wholesalers those with a lot of money become lenders. Perhaps you have time I can find a money partner. If the deal is sweet enough you will find people begging to invest with you.
Rental Property Investor · Member since 2019 · 8 posts · 1 vote
7y
@Frank Patalano coming up with down payment and closing money! That’s the only obstacle I have! Not on my first property anymore. But only have 5 doors.
Professional · Lowell, MA · Member since 2014 · 232 posts · 223 votes
7y
@Frank Patalano wow. You really created a stir here! I should have known, but didn't see that this was from mid March.
Thank you profusely for your dedication, Frank. In about 1/2 hour, I only got down to April 27 while surfing on mobile, and that was reading very little. I'll be back to review in full and hopefully even see your reply to me and others from desktop. You're to be commended. Have a great day.
Flipper/Rehabber · Joplin Missouri · Member since 2018 · 18 posts · 8 votes
7y
@Frank Patalano
My wife... my spouse is very risk adverse and I was not prepared to get divorced... I spent roughly 2 years negotiating that situation. Once I had her permission to “try” it. I got busy!!
Since faith is the opposite of fear... and faith comes by hearing and hearing by the word of bigger pockets.... I listened to bigger pockets till my wife threatened me ha ha. This “education” help build confidence before that first deal.
Also, my first house I bought with a partner who was also brand new at it. ( a flip). We split the down payment and profit. This helped to mitigate the risk ( in my mind). And even though the profit was less... having the courage to do the first deal and gain that experience was priceless.
That was less than two years ago and now I have 5 employees and 4 projects going at once.
@Frank Patalano coming up with down payment and closing money! That’s the only obstacle I have! Not on my first property anymore. But only have 5 doors.
You have enough experience now to find a partner who has money but no time.
My wife... my spouse is very risk adverse and I was not prepared to get divorced... I spent roughly 2 years negotiating that situation. Once I had her permission to “try” it. I got busy!!
Since faith is the opposite of fear... and faith comes by hearing and hearing by the word of bigger pockets.... I listened to bigger pockets till my wife threatened me ha ha. This “education” help build confidence before that first deal.
Also, my first house I bought with a partner who was also brand new at it. ( a flip). We split the down payment and profit. This helped to mitigate the risk ( in my mind). And even though the profit was less... having the courage to do the first deal and gain that experience was priceless.
That was less than two years ago and now I have 5 employees and 4 projects going at once.
Faith is the opposite of fear.
Awesome. You're doing great. My wife calls real estate my mistress. Lol.
Rental Property Investor · Atlanta, GA · Member since 2019 · 18 posts · 9 votes
7y
@Mark Bommarito Hey Mark I am a newbie investor here in Atlanta. Based on some analyzing i've been doing, some great areas to invest are Decatur, Eastpoint, and Smyrna Ga. Let me know how your search goes.
@Frank Patalano wow. You really created a stir here! I should have known, but didn't see that this was from mid March.
Thank you profusely for your dedication, Frank. In about 1/2 hour, I only got down to April 27 while surfing on mobile, and that was reading very little. I'll be back to review in full and hopefully even see your reply to me and others from desktop. You're to be commended. Have a great day.
Ya. When I was on a business trip in Egypt I was up for hours every night typing away answers. Helping others. #educate
Rental Property Investor · Memphis, TN · Member since 2019 · 27 posts · 5 votes
7y
@Frank Patalano what's holding me back is fear of failing. I've started my LLC and business account and have 2 major cc with 0% interest. I've reached out to several different people to pick their brains but no one has called me back. I'm just lost. Looking to get started in Memphis
Rental Property Investor · Memphis, TN · Member since 2019 · 27 posts · 5 votes
7y
@Frank Patalano what's holding me back is fear. I've started my LLC and business account even have 2 major cc with 0% interest for 15 months one is $9000 and the other is $16000,but I don't want to jump out in the Memphis market without picking people brains but no one is willing to talk to me . I feel as if I'm by myself on this new venture
New to Real Estate · Coldwater, OH · Member since 2018 · 105 posts · 61 votes
7y
@Frank Patalano I was going to rant and make a long post about how I am probably taking on information overload right now, but I'm not, I deleted my paragraphs :) I know what needs done, I think.
Buying right is essentially the name of the game, right? If REI boils down to one principle it is "buying right." So, I am going to work on achieving this, many times. How? That's the answer I am after but I want a little assurance.
I have been spread a little thin, absorbing a lot of information, but in a sense, it leads to inaction because I don't have enough direction for the right actions.
I want to buy right. I want a little more direction on what I am trying to accomplish, which is buying right which will lead to good ROIs. Therefore, if I had to focus my efforts on one thing to achieve this, what is it? I think it needs to be a focused effort on targeting motivated sellers, bottom line. Because competition is getting stiffer nowadays, I have to beat the competition to those motivated sellers and offer value along with it. So, should today and hereafter, be the day I go HAM on targeting motivated sellers that fit my criteria?
@Frank Patalano what's holding me back is fear. I've started my LLC and business account even have 2 major cc with 0% interest for 15 months one is $9000 and the other is $16000,but I don't want to jump out in the Memphis market without picking people brains but no one is willing to talk to me . I feel as if I'm by myself on this new venture
It is awesome you are starting out. I am far from experienced in the manner but be careful with the CC's. I am thinking there could be some bad outcomes. If you are left with a big balance when the 0% expires, you will then be facing huge APR's. CC APR's are very large, depending on your credit, but in general quite large. If you can't get those paid off in time for a factor of reasons (house don't sell, under budgeting, contractor deadlines not being met, the list goes on) you will be paying heavily in interest.
Define criteria. If you plan on investing in Memphis start thinking about where and in what. Relay that information to some local real estate agent with good reviews, who are preferably investor friendly. They can get you some leads. Keep networking, look for a local meetup, keep digging, you will get answers.
@Frank Patalano what's holding me back is fear of failing. I've started my LLC and business account and have 2 major cc with 0% interest. I've reached out to several different people to pick their brains but no one has called me back. I'm just lost. Looking to get started in Memphis
Go to networking meetings especially your local REIA. There you will definitely find people wanting to talk.
@Frank Patalano I was going to rant and make a long post about how I am probably taking on information overload right now, but I'm not, I deleted my paragraphs :) I know what needs done, I think.
Buying right is essentially the name of the game, right? If REI boils down to one principle it is "buying right." So, I am going to work on achieving this, many times. How? That's the answer I am after but I want a little assurance.
I have been spread a little thin, absorbing a lot of information, but in a sense, it leads to inaction because I don't have enough direction for the right actions.
I want to buy right. I want a little more direction on what I am trying to accomplish, which is buying right which will lead to good ROIs. Therefore, if I had to focus my efforts on one thing to achieve this, what is it? I think it needs to be a focused effort on targeting motivated sellers, bottom line. Because competition is getting stiffer nowadays, I have to beat the competition to those motivated sellers and offer value along with it. So, should today and hereafter, be the day I go HAM on targeting motivated sellers that fit my criteria?
Yes, that's not going to hold me back anymore.
Buying right is the name of the game. Finding motivated sellers first is the right way to do it. At the same point don't let that be an excuse to not buy a property until you find the perfect one. Get one property that you can make a little bit of profit on. That will build your experience and create confidence to do more.
@Frank Patalano what's holding me back is fear. I've started my LLC and business account even have 2 major cc with 0% interest for 15 months one is $9000 and the other is $16000,but I don't want to jump out in the Memphis market without picking people brains but no one is willing to talk to me . I feel as if I'm by myself on this new venture
It is awesome you are starting out. I am far from experienced in the manner but be careful with the CC's. I am thinking there could be some bad outcomes. If you are left with a big balance when the 0% expires, you will then be facing huge APR's. CC APR's are very large, depending on your credit, but in general quite large. If you can't get those paid off in time for a factor of reasons (house don't sell, under budgeting, contractor deadlines not being met, the list goes on) you will be paying heavily in interest.
Define criteria. If you plan on investing in Memphis start thinking about where and in what. Relay that information to some local real estate agent with good reviews, who are preferably investor friendly. They can get you some leads. Keep networking, look for a local meetup, keep digging, you will get answers.
@Jeffrey Grieshop how could I go about acquiring rental properties without using cc’s? My credit is in the high 700 range but I would like to acquire more than 1 rental property at a time
Whittier, CA · Member since 2016 · 16 posts · 4 votes
7y
@Mark Bommarito I’m from L.A. also. I’m looking out of state too for my first rental property. Elizabeth city, NC has caught my attention. Probably gonna get my butt kicked on first deal but I just want to get in the game. Although I gotta say I might look into Palmdale - Lancaster area if I can get approved.
@Frank Patalano If I had to narrow it down it would be financing the properties and making sure my analysis are correct. For me it is important for the first property to be a success. If the first rental doesn’t generate cash flow it will put a bigger fear in my head and my spouse.