So what's holding you back?

So what's holding you back?

Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes

When I help new investors with buying their first property I often want to know what is holding them back from pulling the trigger.

So I'll ask here. What is holding you back?

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Providence, RI 路 Member since 2018 路 29 posts 路 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.

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  • Member since 2019 路 45 posts 路 8 votes
    7y

    @Frank Patalano

    I'm a truck driver. I'm struggling with trust issues. I view properties in my farm area. I analyze numbers and get comps from local agents. I send GCs to prepare estimates then I don't trust the numbers from agents and GCs.

    I think I also need to find ways to connect with potential investors and private lending.

  • Specialist 路 Washington, DC 路 Member since 2018 路 21 posts 路 1 vote
    7y

    Hi @Frank Patalano,

    What's holding me back is a) time to educate myself in knowing what steps to take and the type of investment that will work for me in this stage of my life and b) living in Germany and wanting to invest in the US. The real estate laws and taxable benefits in Germany are very different from the US and I want to establish a portfolio before trying to break to the barriers Europe has in place.

    I listen to BP podcasts and take notes on tips and techniques, but being so far away from a potential market in the US, makes it seem a bit more difficult.

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Allan James Banning:

    What's holding me back? Well I had a leap of faith & got a pre-approval on an investment property loan with out any down payment, this is one giant leap right! So my delema is finding an investor or a partner to make the deposit on an investment property! I would crunch out any sort of deal, as long as I can have my first investment! Thank you! Allan. B.

     Start with friends and family with money but no time. There are people who dream about investing in real estate but are just too busy. Besides that, start looking at properties. You will be more motivated to find a partner once you have specific deals to discuss.

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Jordyn Rodriguez:

    @Frank Patalano I think what is holding me back is making sure I鈥檓 evaluating the property correctly to make an accurate offer and find a lender

    Finding a lender is easier. You can get referrals at your local REIA. That group might also have classes on how to evaluate a property. We do that at our local meeting once in a while. Also use the calculators on here.

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Hine Cole:

    @Frank Patalano

    Hello, to answer your question, a bunch of reasons from lack of knowledge, other financial obligations, and FEAR. I also believe that i need to absolutely be in a stable financially where i have enough savings to start.

     You should have a few bucks set aside. 

    It is easy to build knowledge. 

    But you have to take action to combat fear. 

    set goals. If not 5 years from now you will be saying the same thing. 

  • Developer 路 Nashville, TN 路 Member since 2013 路 5 posts 路 4 votes
    7y

    @Frank Patalano not having enough Frank in my life is holding me back 馃榿馃槈 Keep crushing it Frank!

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Luis Bermudez:

    @Frank Patalano

    I'm a truck driver. I'm struggling with trust issues. I view properties in my farm area. I analyze numbers and get comps from local agents. I send GCs to prepare estimates then I don't trust the numbers from agents and GCs.

    I think I also need to find ways to connect with potential investors and private lending.

     You are not the first truck driver on this thread. Since you always driving set up a once a week mastermind phone call with other drivers. You guys can discuss real estate. 

    Besides that see if you can join a local REIA. Our has a referral list. People you are more likely able to trust.

    You can definitely do it. I own property that I have never been to and never met the tenants even in my local market. 

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Evan Holladay:

    @Frank Patalano not having enough Frank in my life is holding me back 馃榿馃槈 Keep crushing it Frank!

    Thanks for the kind words. We all spend too much time putting ourselves down in our own mind. It really does hold each and everyone of us back form greatness and success.

    I mean look at you. Respected and amazing podcaster who just broke ground on a 192 unit apartment complex. You are killing it. I'm just helping a few people on social media.  

    I've learned a lot with goal setting this year.

    I will keep working on that to improve myself.

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Marcello Pirrelli:

    Hi @Frank Patalano,

    What's holding me back is a) time to educate myself in knowing what steps to take and the type of investment that will work for me in this stage of my life and b) living in Germany and wanting to invest in the US. The real estate laws and taxable benefits in Germany are very different from the US and I want to establish a portfolio before trying to break to the barriers Europe has in place.

    I listen to BP podcasts and take notes on tips and techniques, but being so far away from a potential market in the US, makes it seem a bit more difficult.

    Has you read Long Distance Investing? 

    Even in my own market I have properties that I have never been to. If you build a strong enough team you will have nothing to worry about. 

  • Rental Property Investor 路 Raleigh, NC 路 Member since 2019 路 66 posts 路 5 votes
    7y

    @Frank Patalano thank you for your insight, I will look into my local REIA. So I don't have money for a down payment so would it still be easy for me to find a lender? I'm looking to buy a manufactured home community near my residence but I don't have money for down payment. Any thoughts on what lenders might ask?

  • Specialist 路 Washington, DC 路 Member since 2018 路 21 posts 路 1 vote
    7y

    What are the best approaches in building a strong team? Can you suggest some threads where I can connect with accountants, property managers, etc.?

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Jordyn Rodriguez:

    @Frank Patalano thank you for your insight, I will look into my local REIA. So I don't have money for a down payment so would it still be easy for me to find a lender? I'm looking to buy a manufactured home community near my residence but I don't have money for down payment. Any thoughts on what lenders might ask?

      you're going to need to find a partner. Almost every wonder is going to want you or your partner to have money involved. Especially with manufactured homes which is considered more of a speculative investment than regular rentals. Find that partner first before you talk to a hard money person.

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Marcello Pirrelli:

    What are the best approaches in building a strong team? Can you suggest some threads where I can connect with accountants, property managers, etc.?

     That I probably can't help you with. Most of my contacts are through networking. Check out that David Greene book on long-distance investing.

  • Rental Property Investor 路 White River Junction, VT 路 Member since 2017 路 23 posts 路 12 votes
    7y

    @Frank Patalano, for me it鈥檚 the fear of failing, or making the wrong buy.. definitely a fear or getting over my head.

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Jonathan Fredholm:

    @Frank Patalano, for me it鈥檚 the fear of failing, or making the wrong buy.. definitely a fear or getting over my head.

     We have put so much pressure on ourselves. Failure is okay. It is one way to learn. I have failed many times in life. If I never took chances I would have never come this far. You win some, you lose some.

    I lose money on about 10% of my real estate opportunities. Perhaps I am holding myself back to much as well.

  • Contractor 路 Dallas, TX 路 Member since 2018 路 17 posts 路 1 vote
    7y

    @Frank Patalano Unfortunately, last year I got a car loan. Right now I鈥檓 working on paying it off so I won鈥檛 have any debt. I鈥檓 20 btw

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Jose Reyes:

    @Frank Patalano Unfortunately, last year I got a car loan. Right now I鈥檓 working on paying it off so I won鈥檛 have any debt. I鈥檓 20 btw

     That is an okay strategy. At the same point I have plenty of friends who use their real estate profits to pay off their student loan debt and car debt. Doing deals will help you increase your income.

  • Contractor 路 Dallas, TX 路 Member since 2018 路 17 posts 路 1 vote
    7y

    Will a bank still approve me for a house loan even if I have debt? I don't have any investments yet but my plan is to get an FHA loan and house hack in a duplex.

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Jose Reyes:

    Will a bank still approve me for a house loan even if I have debt? I don't have any investments yet but my plan is to get an FHA loan and house hack in a duplex.

     You are allowed to have debt. It depends on your debt to income ratio. Check with a couple mortgage brokers. Shoot, we have local credit unions that offer 100% financing if you have great credit.

  • Contractor 路 Dallas, TX 路 Member since 2018 路 17 posts 路 1 vote
    7y

    Thanks for your advice and for helping me change my strategy. I鈥檒l definitely start looking at mortgage brokers and start as soon as I can! 

  • Rental Property Investor 路 Huntsville, AL 路 Member since 2015 路 401 posts 路 309 votes
    7y

    @Frank Patalano I just kept showing up to networking events even though it was uncomfortable, which eventually led to me getting better at it. Some of those meet ups were in Huntsville yes. I did not take a class on the subject though haha

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Caleb Bryant:

    @Frank Patalano I just kept showing up to networking events even though it was uncomfortable, which eventually led to me getting better at it. Some of those meet ups were in Huntsville yes. I did not take a class on the subject though haha

     You took action. Nice job.

  • Rental Property Investor 路 Minneapolis, MN 路 Member since 2019 路 5 posts 路 0 votes
    7y

    @Frank Patalano

    I have yet to buy my first property and I鈥檓 trying to improve my credit before I do so. I fear making mistakes and being gullible. I fear getting ripped off or just failing in general. I am reading some bigger pocketbooks and educating myself so I can be more confident in my first purchase. So basically, fear of the unknown is what holds me back.

  • Rental Property Investor 路 East Providence, RI 路 Member since 2018 路 1k+ posts 路 1k+ votes
    7y
    Originally posted by @Leora Devitt:

    @Frank Patalano

    I have yet to buy my first property and I鈥檓 trying to improve my credit before I do so. I fear making mistakes and being gullible. I fear getting ripped off or just failing in general. I am reading some bigger pocketbooks and educating myself so I can be more confident in my first purchase. So basically, fear of the unknown is what holds me back.

     Set goals to educate yourself. So much reading everyday. So many podcasts every week. You will definitely make a mistake. We all do. It's free to look so you can be actively out there looking now if you want. If you have time go out there and Network some more too.

  • Rental Property Investor 路 Gardena, CA 路 Member since 2018 路 6 posts 路 1 vote
    7y

    @Frank Patalano don鈥檛 have enough capital right now and I need help finding deals

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