I've been looking for an investment for some time now and came to the conclusion that real estate might be the best option. Can someone give me some advice on where and how to get started based on my situation?
-Current capital is about $45K, no collateral
-My goal is to increase my capital as much as possible and purchase a passive income property in the next 2-3 years
-#1 problem I am having is that my credit is destroyed 100% because of private student loan. Im already working with an attorney and this is guaranteed to be off my credit in 3 years. Federal student loans is estimated to be paid off 100% within the next 5-7 years (hopefully faster if I find the right investment)
-Although I dont need it, I do have credit cards that Ive always paid in full for the past 15 years. Ive been using it to keep the accounts active and at least keep some positive reporting to my credit report
-Based on past experiences, I am 100% sure I cannot get a loan through a bank, if I get a loan, the only option I have is a hard money lender
@Darnell Thomas Why not try partnering with someone who has a great credit score but not a lot of capital? I am currently in a position where I have been approved for a loan but don't have enough saved up for a down payment. I would personally love to partner with someone like you. Or else you could look into investing in crowdfunding sites like Fundrise but you may not see as high of returns as if you did your own deal.
You need to start meeting other investors. Go to real estate clubs, investor meetups, etc. Find legit investors who are actively investing and find out what type of properties they are interested in. Do some research and find properties that they might be interested in. Send them an email or text that you found a property they might be interested in and send them all the details. Don't try to collect a fee or anything, just pass them a legit good deal that's in their wheelhouse. And tell them, you're not asking for a fee, you're not getting anything from this you just remember this was the type of deal they are interested in. This will build trust, especially if they buy the deal. But once you start building relationships with other investors you can tell them you have some extra cash that you're looking to invest. If you and another investor get along and trust each other, then they may have something you would be interested in partnering with. A cash partner is better than a credit partner so you are in a good position.
I hope this makes sense and I hope it helps.