Hey y’all, quite new to the forums. Done my own research and learned a lot over the past few months through others sources. Learned about BiggerPockets more recently. I’d appreciate any feedback y’all have.
What is some advice you guys wish you knew when you were younger and starting out? Any advice on real estate investing or even personal finance I’d love to hear about it.
A little about me. I’m 20 years old, I have about a year and a half left in the army. Currently saving as much as possible, trying to build credit and learning about investing and personal finance though books, forums, YouTube, blogs, etc. After my service I plan to attend college for electrical engineering. While in college I plan to house hack my first rental property.
Some of my questions:
What should I do between then and now to be better prepared for my first investment?
Do you guys have any book recommendations?
How did you guys start your rental property investing journey? What do you wish you would have done differently with the knowledge you have today?
Hey Kipling. First of all thank you for your service. It’s sounds like you’re on the right track and have a solid plan. My only advice would be, to keep your credit strong. Credit is key to real estate investing. Whatever area you’re going to settle in, research local real estate meet ups and begin networking with other investors.
You’re in a perfect position.
@Kipling Beck - Hi Kip! Thanks for your service!
Firstly, based off what you said, and if I were in your exact shoes (assuming single, no kids), I wouldn't go to college. I'd spend those 4-5 years becoming a Real Estate Agent and getting to know the market I'm in like the back of my hand. Along that journey you will make mentors, partners and other important connections. (FYI - this is what <I> would do)
With that knowledge and leg up on other Real Estate Investors, I'd crush it as an investor. I hear this all the time in BP podcasts, RE agents have such a leg up on the market, they should all be investors! But so many of them aren't because they just want the instant cash or enjoy that game vs the investor game. Whatever floats their boat.
One other tip, pick a strategy and just do it. Don't overthink or get paralysis by analysis. "Oh but wholesaling will be easier." 2 months later. "I'm going to buy and hold." 4 months later. "Time to become a day trader in stock!" 1 year later. "Time to start an Amazon FBA."
I know that's a little exaggerated but it's kind of what I did through my 20's. Just don't want you to make the same mistake. Pick something that obviously has some history with consistency, and just own it!
I had to learn that, for the most part, it's a long game. Good to understand that at the beginning and keep it in perspective when setbacks happen. There were plenty of times that I was about ready to give up because big scary issues kept happening. Now I know I'll figure out how to solve the issue and know how to handle it better if it ever happens again.
@Kipling Beck Things I would tell my 20-year old self:
- Stop worrying what other people think of you.
- Be incredibly patient. Stop thinking in 1-3 year increments and start thinking in 5-, 10-, 20-year increments.
- Strategies and tactics are cool, but the ability to adjust your perceptual map is a game changer.
Books I would recommend (in no particular order):
- Cash Flow Quadrant by Robert Kiyosaki
- Grit by Angela Duckworth
- How to Win Friends and Influence People by Dale Carnegie
- Atomic Habits by James Clear
- The ONE Thing by Gary Keller and Jay Papasan
Putting $100 a month into a savings account is not conducive to retiring at 35.
@Will Long thanks for your reply! I will be certain to look into some meet ups and continuing to build my credit.
@Travis Henry thank you for the advice and book recommendations!!
@Billy Linn I’ll be sure to keep that in mind!
@Josiah Sia thank you for your response! Much appreciated. And I’ll definitely do my best to not get stuck in paralysis by analysis.