What was your first deal? And what were some key things that helped you when first getting started in real estate?
I feel like many people that are new to investing need to see the different stories and tips getting into real estate from others.
I bought a 2 bedroom/1 bath single family house in St. Louis County, MO for $35k back in 2010. It was listed retail originally for $55k. After sitting for several months, the seller lowered the price to $45k. My opening bid was $30k. They countered at $40k. We split the difference at $35k. After closing, I put $7.5k of rehab costs into it to get it rent ready. The first person paid $750 per month.
Since the original purchase, I gutted the bathroom and put in a new HVAC unit. The cash-on-cash return today is 22%.
Key learnings: always be willing to throw a low bid at an property that has sat for a while, have a contractor give you a bid of what needs to be fixed ahead of time, have another investor either review your numbers or walk the property with you, trust your instincts, call all the for rent signs in the area (lets you learn what others are charging for rent), and take action. The first property will not make you rich or make you broke. It will teach you the processes that you need to put in place going forward.
My first deal was a house hack duplex property near my college. I needed a place to live for cheap and close to school but didn't want to have a ton of roommates and wanted to make sure that I had a place to stay after college was finished too. I'd say my key was a very very good realtor who knew about investments himself, he truly helped us find the diamond in the rough. I was dumb and did not do an ounce of research as this was me trying to find a place with my boyfriend to live before we even knew there was a term "househacking" for it lol. I never wanted to invest in real estate until after this, its set off my career which has done a complete 180 from healthcare and now my full time career is real estate based.