Buffalo, NY · Member since 2017 · 64 posts · 85 votes
I am 16 years old, I live in Buffalo NewYork. I have done a lot of research, and i will continue to study and learn everything I can. But I would like to know, how can i get my foot into the door and really learn the real estate business at my age? Any sort of advice will be helpful, thank you!
Specialist · Houston, TX · Member since 2015 · 1k+ posts · 1k+ votes
7y
@John Moorhouse First of all congrats on thinking like this so early in your life. I am sure I speak for many people on here and we did not think about investing till a later age (atleast that was my case). Best advice I can give you is to educate yourself to think correctly, do not worry about the "How" to do things just yet, focus on the "Why" you should do things.
I have a son and at 14 years old he came to me and said he wanted to buy a rental property, He learned this because I own a property management company, have rental properties that I own, and I speak around the US and Australia on this subject. The one thing that I do every single day is I listen to audio books and podcast shows, while he is with me he by default is listening to them also. It was the years of him listening to all the shows, hearing me speak about it on stage as well as my own radio and podcast show that got him to want his own.
Part of his chores is that he has to listen to so many minutes of a podcast or audiobook daily. If I would have just made him go buy a rental it would not have meant anything to him, but the fact that he learned by listening on his own and made the decision to me is something that will just grow over time and make him that much more successful.
Gainesville, FL · Member since 2019 · 73 posts · 50 votes
7y
At 16 years old, you're looking at part time work. Not sure what the rules are where you're at, but part time work might look like cleaning out houses or helping with rehab with a general contractor - That's only IF you want to go down that route.
I've got limited experience in RE Investing, but if I were in your shoes, I might break the industry down into a couple of categories: Read about Wholesaling/Marketing, and maybe try to get some part time work in that realm....There's also Property Management, which might become available to you as a leasing consultant or something similar with a property mgmt company or at an apartment complex.....Think about jobs at banks too, as spending time there could give you an idea of how loans are processed and what gets an applicant approved or denied......Lastly, and something for RIGHT NOW - I'd say get in touch with a general contractor that does rehabs - or get your friends and family to keep an ear out for someone they know who does fix/flips - Go to them and try to score a summer job with them....Cleaning out vacant homes, assisting the contractors, doing whatever they ask. That could get you REALLY great experience in what it takes, might get you a decent mentor, and might even score you a partner down the road when you're ready to make your first purchase!
Specialist · Houston, TX · Member since 2015 · 1k+ posts · 1k+ votes
7y
@John Moorhouse First of all congrats on thinking like this so early in your life. I am sure I speak for many people on here and we did not think about investing till a later age (atleast that was my case). Best advice I can give you is to educate yourself to think correctly, do not worry about the "How" to do things just yet, focus on the "Why" you should do things.
I have a son and at 14 years old he came to me and said he wanted to buy a rental property, He learned this because I own a property management company, have rental properties that I own, and I speak around the US and Australia on this subject. The one thing that I do every single day is I listen to audio books and podcast shows, while he is with me he by default is listening to them also. It was the years of him listening to all the shows, hearing me speak about it on stage as well as my own radio and podcast show that got him to want his own.
Part of his chores is that he has to listen to so many minutes of a podcast or audiobook daily. If I would have just made him go buy a rental it would not have meant anything to him, but the fact that he learned by listening on his own and made the decision to me is something that will just grow over time and make him that much more successful.
I am 16 years old, I live in Buffalo NewYork. I have done a lot of research, and i will continue to study and learn everything I can. But I would like to know, how can i get my foot into the door and really learn the real estate business at my age? Any sort of advice will be helpful, thank you!
Hey, Jordan, I'd like to know why you're interested in doing this. What's pushing you, at the age of 16, to learn about this? Is it because you want to be rich? Do you like houses? What draws you to real estate?
Rental Property Investor · Philadelphia, PA · Member since 2019 · 89 posts · 27 votes
7y
All good input from @Thomas J. Clifford, @Steve Rozenberg, @Aaron K. and @Jordan Sinclair. If you want to be successful in anything you do, you need to become an expert. So, you should do what the others recommend. I'd also add that you may even want to intern with a real estate law firm so that you can gain insight into that aspect of the business. You should also look into taking courses on entrepreneurship and business finance which will help you plot your long term investing strategy and career goals.
Buffalo, NY · Member since 2017 · 64 posts · 85 votes
7y
@Steve Rozenberg I like the idea of listening to audio books for a certain amount of time a day, and the why rather than the how for now. Do you have any recommendations in audio books I should take a listen to?
Buffalo, NY · Member since 2017 · 64 posts · 85 votes
7y
@Jim K. Originally I liked the stock market, but as time went on I realized how much risk the stock market brings (this was probably 3 years ago.) I slowly moved over and am now fully interested in real estate investing. It seems more secure to me, and more attainable to be successful at. I also like it more because I like houses, and I like the long term financial gain i can receive if I work hard and start learning early. I started thinking about this because i listen to people talk. And when you hear different people all saying the same thing, its a good idea that you may want to listen to them, or at least thats how I think. They all had the same regret, they didn’t have any investments, they were not financially literate, and they were not good at spending their money and investing it. Another thing is, I dont want a ceiling over how much money I can earn. If I want to work for 18 hours a day I want to do that, but also if I want to not work at all for a day I want to be able to do that. I want to be on my own schedule and be my own boss, I dont want to have someone else telling me what to do. I also I love and want to collect pre 2000 year cars like Jay lenno does and that requires money. So basically I’m just trying to steer myself in a direction that has wealth and financial freedom.
OK, thank you. I now have two pieces of advice for you:
1. Do not assume that other people are going to happily do again and again what they damned well know is the most difficult part of the work of making you rich. This is the biggest trap I see in every sort of real estate investing that involves building or rehabbing houses.
2. Do not fall into the trap of believing every important aspect of real estate can be reduced to numbers. This is the biggest trap I see in every sort of real estate investing that involves doing anything over long distances without actually being there.
Predictably, therefore, the riskiest types of real estate investing involve long-distance building or rehab. the safest types of investing do not involve rehab and are done locally.
Property Manager · Richmond, VA · Member since 2018 · 36 posts · 19 votes
7y
@John Moorhouse it’s awesome that you are thinking of this at 16! I hope my kids get an early start like you. (My oldest is just 9 but if he’s asking this question at 16, I’ll be thrilled.)
I would say step 1 is simply to learn. If you’re into podcasts, check out ... the Bigger Pockets podcast! Seriously, I own a few rentals but just started listening and wish I’d started listening a while ago. I also recommend reading Rich Dad Poor Dad. That’s the book that started things off for me. Simply put, read, listen, learn. Learn the numbers and learn about property itself - construction, HVAC, electrical, plumbing, etc etc. You will never learn it all so get started.
Meanwhile, save up some money. It will take some time, but your first real investment will be your first home. You’ll want to “house hack”
It, as they say here at Bigger Pockets. And rent out a room or 2. Or if you can start with a multi-unit, Rent out the other units and let the tenants pay down your loan for you.
The advantage you have as a young, first-time home buyer is huge! You can typically buy with a lower downpayment (just avoid anything that is interest only or a variable rate - lock in that low rate for as long as you can) and of course you have a lot of years to live to pay down the loan.
This is all long term stuff but since you’re thinking this way now, I have a feeling you’ll be financially set at a much younger age than your peers. Good luck!
Buffalo, NY · Member since 2017 · 64 posts · 85 votes
7y
Does anyone have some ideas in terms of jobs that would be good so I can gain some Capital? I want to invest full time and really have no clue for what I will do for a job to raise enough money for a downpayment, and living cost.
Rental Property Investor · Sedan, KS · Member since 2016 · 125 posts · 92 votes
7y
@John Moorhouse Josh and Brandon have about 300 hours of podcast episodes. It's pretty motivating.
I gotta hand it to you showing up here at 16. I was working in the oil field and hating life at 16. I didn't even consider real estate investing as an option until i got injured and forced to quit blue collar work for the most part.
Rental Property Investor · Sedan, KS · Member since 2016 · 125 posts · 92 votes
7y
@John Moorhouse If you are into classic cars start going to any racing events near you. Roundy rounds, figure 8s, drags, car shows etc. You quickly find a club or a group of guys that spend most of their time wrenching on hotrods.
If you really want a deal find the most po-dunk backwoods place near you and just drive around. If you see one you want go up and knock on the door and bs with the owner. 9/10 times they won't turn loose of it but they'll know people that might sell.
You'd be surprised at the deals you can find. And the people you'll meet.
Some are kind of cranky so just apologize and leave.
Some have violently angry dogs so be careful
But some are just bored and want to chat with someone. And they may be having hard times or be moving soon and be motivated to have things hauled off.
Rental Property Investor · Sedan, KS · Member since 2016 · 125 posts · 92 votes
7y
@John Moorhouse start showing up in the areas where newer culdesacs are built and ask if anyone needs help.
You may as well learn construction since you'll likely be working on a lot of different things. If physical labor isn't your game see if a broker or two will let you come in and field calls or file paperwork. Maybe show up at a real eatate investment club near you and just ask for a job?
It's hard to find a decent job until you are 18. But you can find 2 or 3 part time ones.
Buffalo, NY · Member since 2017 · 64 posts · 85 votes
7y
@Andrew Cornstubble thank you for the advice. I do love classic cars, I’ve got some experience too because my uncle restores old fords and i hep him often. Thank you.
Contractor · Middleboro, MA · Member since 2019 · 18 posts · 25 votes
7y
Hey John,
My best advice is to find a way to set yourself apart and give you an EDGE. In my opinion, the best way to do this aside from learning and reading about REI, is to learn CONSTRUCTION!!!
Find a general contractor that does new construction and remodeling and start from the bottom as a laborer and apprentice. Learn the ins and outs of building construction and you will be able to walk into any potential investment and know exactly what its going to take to get it where you want it. Of course there are always unforeseen conditions, but if you can manage and even self-perform the construction aspect of your deals, then right off the bat you can be more competetive than the next guy who has to hire a GC to do everything for him, usually at a 15-25% profit margin, depending on the size of project and area you live in. So in theory, a 50k renovation you could get done for 40k simply by managing yourself and hiring and negotiating with subcontractors directly. Even less if you are able to self-perform the work and use temp labor (always go through a legit agency, never hire off craigs list as if they get hurt on your property you can kiss it goodbye)
I was into construction long before real estate and very glad I went that path as it gives me a huge edge.