Rental Property Investor · Overland Park, KS · Member since 2018 · 49 posts · 30 votes
Lately I’ve been feeling like I’m never going to advance much further in this whole real estate business because I don’t have the money to make a deal. I’m introverted and terrible at sales and networking, so I’m struggling to find any partners, too. I would appreciate any words of wisdom to help get beyond this rut.
Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes
7y
@Erin Auman I don't think money or networking are holding you back. I think it is general lack of action. You need to take action to succeed.
A good first step is create a profile on BiggerPockets. Your profile is EMPTY. Write up your goals in real estate. Share your deals.
Make connections on BiggerPockets. I know you are an introvert, but messaging on a computer is very non-threatening. You have 10 connections on BP currently. Set your goal to double those connections. That means submitting connection requests and include a person note. The personal note should be honest. Send me one and I will accept, so that is one down!
Post more questions in the forums. Questions can be any topic you are stuck on. Examples, "How Do I get Better at Sales" or "How Does an Introvert Make Connections" or "Opinions On XYZ Market".
Respond to forum posts that are of interest to you. With the variety of topics I guarantee you can find some that you can add value to. Tag someone in each of the posts, which will encourage them to respond to you. This is a step towards starting conversations.
You can also look for meet ups in your area. Set key word alerts for your city and state. You may be nervous attending the meeting, but you can just go and listen. People will approach you and all you have to do is answer questions.
As you take these steps, each builds on the next. Don't let fear or excuses shut you down. Just do a little bit every day and slowly you will get there.
I feel like most of the comments are focusing on the networking part of your post and largely ignoring the capital part. I'm not saying you shouldn't try to get better at networking, but without capital I think it will always be a struggle no matter "who you know." If you have capital you can deal from a position of strength, and at that point it's more about what others can do for you rather than the other way around.
I should add that I'm also introverted and I only invest in residential properties, so my mindset may be much different than someone who invests in commercial properties. But I know for me everything just kind of snowballed after I picked a PM -- they put me in touch with a good RE agent, good lender, and so on. From there I can leverage those peoples' expertise on strategy, deals, etc. Now that I write that last sentence out I realize some might consider that a form of networking, but I guess the point is I feel like I'm letting someone else do the networking work for me.
thanks @Chad McLeod. I was looking for someone to address the Capital part it as well. I completely agree with your first paragraph. But my next question would be, if i already have a complex I am looking at and just need the funding. How do I go about it as far as trying to get funding when my credit is not good enough to get a traditional bank loan?
Or am I looking at it the wrong way? Am I maybe trying to start out with something too big (too expensive) for a first time investor? And if so, how would I get funding to start off with something smaller?
Are you referring to a commercial deal? If so, I am certainly not the right person to answer that question. Heck, there is a good chance I'm not even the right person to answer if you're talking residential! :)
But to answer your question as best as I can, if credit is an issue I think you would have to look at private lenders and/or hard money lenders. But like I said, there are many people on here who are more qualified to answer that.
Real Estate Professional · Tampa, FL · Member since 2017 · 104 posts · 47 votes
7y
@Erin Auman I have many perceived fears that I know probably really dont exist and some that need to be overcome thru training.. for example: fear of an impromptu public speech ,fear of deep waters (a legit fear) ,fear of making a big financial mistake etc...but I have been watching lots of youtube videos,motivational speeches and just showing up and taking tiny consistent steps towards the goal seems to be a good compromise between not taking any action action at all. For some people, a goal may not feel intimidating even though it may be hard, for example prep for a marathon for me . But prep for a big public speech is intimidating for me and I dont even know why it should be..So the only way I can overcome is to start and keep showing up for practice Rain or Shine to toastmasters and start very small...day 1,2,3...till day 30 , all I do is show up and introduce myself and maybe say a a simple line or 2, or talk about very simple topics and build from there. Same goes with swim prep for a triathlon for me, maybe it starts with me going to the pool at least 4 times a week ?,doing 1/2 a lap, or 1 lap? ....You can do it, you can take small tiny steps and amazing things will happen...try it, you have nothing to lose and everything to gain.
Rental Property Investor · Ocala, FL · Member since 2016 · 226 posts · 140 votes
7y
@Erin Auman
I used to be a lot more shy than I am now. But, then I learned to be more concerned about others than about myself. And, I always remember Zig Ziglar sayin.g that you can get anything in life, if you just help enough other people get what they want.
So, if you offer to help others, and get to know them, you will probably be pleasantly surprised at the results.
Kansas City, MO · Member since 2013 · 131 posts · 64 votes
7y
@Erin Auman Hey Erin, I'm here in the OP / KC market as well. Happy to talk about your current properties and ways to use them to pull any equity out to scale your business, which is what I've done. Let me know how I can help.
Rental Property Investor · OH · Member since 2019 · 21 posts · 9 votes
7y
@Erin Auman I think it’s great you have identified that you’re in a rut, most people know that deep down but are too afraid to admit it.
The advice I would give to you is too take a step out of your comfort zone, sticking to what’s ‘normal’ to you will leave you with normal results and the feeling of being stuck.
Challenge yourself everyday and think of it as embarking on a new mission. This is business, put your fake smile on and wipe the dirt off your butt.... you have money to make.
I'm an introvert but my husband is an extrovert. We divide and conquer. I come up with the ideas, find the real estate agent and mortgage company, find a list of properties (we choose together). I do the interior and landscape designing and web sites and he does most of the constructing or acts as a general contractor. I do the gardening and he deals with the tenants and repairs. We pay a landscaper. It works out really well for us as we each use our strength and the other person handles what we aren't good at. If you can find a partner to work with then you can do it this way.
I just want to let you know that we have all gone through this phase at one point or another. When I started out, I had absolutely no money, zero experience with sales or real estate and I was somewhat intimidated to speak to sellers and cash buyers because I really had very limited knowledge of wholesaling.
One thing that really helped me was watching videos of others who were able to overcome their fears and dive deep into the business. If you are an introvert I would highly suggest advertising on Facebook, that way sellers and buyers will hopefully contact you first that way you can get the ball rolling. You will eventually realize that sometimes they are just as nervous and anxious to talk to you as you are to talk to them and many are very friendly and down to earth.
Just keep pushing and NEVER GIVE UP. Eventually there is a light at the end of the tunnel, you just have to be willing to face your fears and know that you can and you will achieve your goals as long as you don't give up.
You can feel free to connect with me if you would like some tips on how to conquer the business.
Rental Property Investor · Overland Park, KS · Member since 2018 · 49 posts · 30 votes
7y
@Brandon L.
I'm wanting long-term cash flow with buy-and-hold rentals. I'm also interested in the BRRR strategy. We currently have three properties, one is rented and the others are at various stages of rehab.
We recently moved and currently rent until we find something. We would like a multifamily that we can house hack, but so far we haven’t found something we can afford.
Real Estate Agent · Falls Church · Member since 2012 · 2k+ posts · 1k+ votes
7y
@Erin Auman well based on that you are doing better than 99% of the newer investors on this site. You have made significant accomplishments so you can be proud of that. Keep in mind this is a marathon not a sprint. I would suggest focusing your energy on the projects you already have going, and getting yourself into your own home. Investing without owning your own home is like building the walls of a house with no foundation.
Investor · FL · Member since 2019 · 76 posts · 37 votes
7y
@Erin Auman
Keep on moving forward. You will get there. Make a point of doing something positive toward your goals daily. Set daily weekly, monthly goals. Track your progress. You will see improvements in knowledge and confidence. The more people you meet and the more knowledge you gain, the more confidence you will have. One step at a time. You can do it.
I make pretty good money as a river boat pilot in new Orleans, I was wondering if it is a good idea to just buy my first rental property cash. I would like to start with a duplex or a four plex and possibly move on from there. Is that the best way?
Investor · New Orleans, LA · Member since 2012 · 968 posts · 747 votes
7y
Hey @Jerry Cramer. I am both an investor and a realtor in New Orleans. I wouldn't suggest buying a property in cash unless you just have a ton of it that you are looking to park somewhere. The name of the game in real estate is leverage, hence the reason for the BRRRR method.