First Time Investor with 1000$ Where and how do I start?

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First Time Investor with 1000$ Where and how do I start?

Deonte Ademiluyi
Aubrey, TX · Member since 2019 · 9 posts · 6 votes

So I'm 20 with 1000$ saved and I don't want to go to school because I know that I want to start investing. I'm looking through google trying to find a good duplex but honestly, I don't know what I'm looking for and what to do.

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Jonathan Lyford
Member since 2019 · 56 posts · 53 votes
7y
I think that becoming an investor is something that you transition to over time, but you need to first have a steady income so you have some money to invest in the first place. If you don't want to go to school, fine, but you need a some sort of skills and a job that you can make money at. Then, once you have some money saved you can start using that money to invest and create passive income. It just takes some time but you'll get there.
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  • Muiris F.
    Investor · Member since 2019 · 3 posts · 3 votes
    7y

    @Deonte Ademiluyi Use YouTube to learn about day trading and swing trading stocks under $10. It’s real. Start with Timothy Sykes and Ross Cameron.

    0Reply
  • Chris Allen
    Temple, TX · Member since 2018 · 307 posts · 215 votes
    7y
    I just bought my first property, so I am not a source of authority by any means; but here is my opinion. You need money to make money in real estate. While you can invest other peoples money instead of your own, I don't think you should risk other peoples money unless you are a pro, or have the potential to take a loss and pay your investor out of your own pocket. Your first investment should be in yourself, so spend a little money, buy a couple of books, network, and get educated. Obviously bigger pockets is full of free education, so start there, but maybe buy a couple of the books and start reading. I also recommend listening to some of the bigger pockets real estate podcast, but also really dig deep into the bigger pockets MONEY PODCAST. Get a firm financial foundation first while you are gaining knowledge and networking. Only then start investing. You should have a safety net of cash reserves, Dave Ramsey recommends at least $1k emergency fund, then 6 months worth of bills set aside. Even Brandon Turner in his No and Low money down book says that when you invest with none of your own money, that doesn't mean you should be broke, you need to have some cash saved up. But awesome start, recommend house hacking if you can, reduce your highest expense. In Short... 1) INVEST IN YOURSELF FIRST.. 2) Get educated ( books, network, BP Money Podcast & BP RE Podcast) 3) If the $1K is literally all you have saved up, DONT TOUCH IT. Have that emergency fund. 4) Once you get a little money, you can use an FHA to buy a small multi family, live in one unit and rent the others out.
    3Reply
  • Nigel Guisinger
    Rental Property Investor · Member since 2019 · 93 posts · 110 votes
    7y

    While there are s lot of neigh sayers above I'll take a different approach that I haven't seen anyone say. GO FIND A DEAL! Lock it up and use your $1000 to buy the option. With that you can either wholesale, which I personally don't like or you can find another person to Go in on the deal with you and you get a fraction of the deal. Part of something is worth more than all of nothing and the education is extremely valuable. Investing is a long haul not a sprint. Find a REIA group and there you will find investors and lenders. And that is where you need to start. Best of luck and don't lose the drive.

    2Reply
  • Ray A Delfi
    Rental Property Investor · Poughkeepsie, NY (Hudson Valley Area) · Member since 2019 · 188 posts · 102 votes
    7y

    @Deonte Ademiluyi I’m literally copying and pasting the same advice I gave to a similar post:

    I would look for a job with a good property management company. Meet as many realestate agents, land lords, loan officers and city officials as possible (building inspectors, tax appraisal, etc.) as in my experience, good property manager usually know everyone. Volunteer with Habitat for humanity projects (or similar non-profit rehab programs) and get as much exposure in the community as possible. With the knowledge, I’m sure you already have being here on BP, eventually your first deal will just fall in your lap and you would be surrounded by the right people to get the support you need to make it happen. Your first deal should most definitely be a house Hack as mention in other responses as you will get a first hand experience what it will be like to be a land lord and a home owner.

    2Reply
  • Ray A Delfi
    Rental Property Investor · Poughkeepsie, NY (Hudson Valley Area) · Member since 2019 · 188 posts · 102 votes
    7y

    @Deonte Ademiluyi use that 1000 to educate you’re self, go to the weekly webinars, then upgrade to pro, read all the great books available then read all the great books suggested by them. Read everything and study wholesaling to start as it is probably the best way to find and analyze deals starting out. Learn to analyze properties, drive for dollars, skip trace owners and make offers and get rejected. Don’t spend a dime until you saved up at least $20k not even on post cards. Driving for dollars is free and skip tracing can be also you are creative. If you do all this, save the $20k then you’ll know your heart is really into this and then you could buy your first duplex and house hack.

    1Reply
  • Account Closed
    Contractor · Westmont, IL · Member since 2018 · 44 posts · 31 votes
    7y

    @Deonte Ademiluyi If you get a job as a plumber, you can learn valuable skills while you save money to invest. Meanwhile, attend rei meetups, read books, and practice analyzing properties. Good luck!

    0Reply
  • Bob Prisco
    Specialist · Cleveland, OH · Member since 2018 · 1k+ posts · 666 votes
    7y

    You do not have any money, or experience. Find someone doing deals,  LEARN, find them deals, earn a finders fee, save then start doing on your own,  

    Good Luck 

    0Reply
  • Jerryll Noorden
    Flipper/Rehabber · Wilton, CT · Member since 2015 · 4k+ posts · 4k+ votes
    7y
    Originally posted by @Deonte Ademiluyi:

    So I'm 20 with 1000$ saved and I don't want to go to school because I know that I want to start investing. I'm looking through google trying to find a good duplex but honestly, I don't know what I'm looking for and what to do.

    Hey man, I am sorry for all the crude negative replies on here. I believe in telling the truth but I personally would be a bit kinder in the replies.

    So although I don;t agree with their approach to answering,  I do agree with what they are saying.

    Can you make it with just $1K? maaaaaaaaaaybe, but probably not.

    See if you think about it, you need SOME money, to do.. well anything. If you are going to knock on doors you need gass money to reach the neighborhoods, Driving for dollars, gas money, Bandit signs, gas money and money for the marketing pieces. 

    DMM forget it, even more expensive.

    So what do you do with the 1000?

    And I would highly suggest you do as I say here.

    It takes time to invest the right way. I would say at least 2 months. 

    So use that 1K to set up your business. Get a website, Get investor carrot. work on SEO, and credibility.

    While you do this, focus on saving more money. Do some jobs, I don't know, what ever you ant to do to get money the reliable way.

    As you do this, keep in mind, you did not delay your jump into investing. You need to get a website and work it even if you had $1M. So if you want to progress right now with just $1K, you can.

    See Even if you had 100K these steps would remain the same, and you wouldn't need to spent $1K in the first 30 days. So Even if you pretended to have 10K right now, all you needed was just a couple of 100 dollars to get going. So .. get going!

    Then do a google search for "Forced Traffic & Conversion". Follow this strategy and you will be up and running in no time. You may even surpass all the people here that told you you can't do it. Even ME!

    ;)

    5Reply
  • Maxine Kunimura
    Eagan, MN · Member since 2018 · 32 posts · 17 votes
    7y

    @Deonte Ademiluyi

    A recent BP podcast guest did a deal with as little as $500. Lots of good advice here!

    0Reply
  • Deonte Ademiluyi
    OP
    Aubrey, TX · Member since 2019 · 9 posts · 6 votes
    7y

    @Danielle Wolter Thank you Danielle i will definitely keep those questions in mind.

    0Reply
  • Joe HammelBusiness Member
    Real Estate Agent · Metro Detroit, MI · Member since 2018 · 614 posts · 666 votes
    7y

    1. Ignore and disregard everyone on here who says you can't. You don't need that negativity.

    2. Read and review all the positive posts

    3. You've got the right mindset. Read: "Rich Dad Poor Dad" then "Set for Life" 

    4. Go to Real Estate Meetups and tell everyone your plan

    5. Ignore the people at the meetups who are negative

    6. Be open and try and work with/for these guys

    Keep making money and studying. It will come. 

    [email protected]248-422-1685
    FIRE Realty Team - Keller Williams5379 Reviews
    WebsiteView Page
    2Reply
  • Anthony Rosa
    Rental Property Investor · New York City · Member since 2019 · 703 posts · 538 votes
    7y

    Keep saving and learn a skill if you don't plan on attending college.  You need to save more money and some cushion cash for rainy weather. Find employment and build credit. To get a loan you need to show down payment money, steady employment, bank statements and credit.  No need to rush properties will always be around and your turn will come. Good luck!

    0Reply
  • Ola Dantis
    Multifamily Syndicator · Houston, TX · Member since 2016 · 1k+ posts · 2k+ votes
    7y

    @Deonte Ademiluyi GUESS WHAT? You are 1,000 better than many, it is a START. 

    Many people have started with thousands of dollars in DEBT. 

    So, you are in the majority. Start with learning REI through self-discipline and try to shadow someone who is doing what you'd like to do by providing value to them (you can be better positioned to add value when you have studied on your own). 

    Good luck. 

    0Reply
  • Carey Salmon
    West Palm Beach, FL · Member since 2019 · 4 posts · 3 votes
    7y

    I wish I had your mindset regarding investing in my 20's. Good for you. Start educating yourself by reading, listen to podcasts and maybe find a local investor you can intern with to gain first hand experience. 

    0Reply
  • Marquez Ford
    New to Real Estate · Member since 2019 · 6 posts · 5 votes
    7y

    @Charles Carillo

    Where to start learning about real eastate?

    0Reply
  • Tashina Taylor
    Gillette, WY · Member since 2019 · 85 posts · 18 votes
    7y

    @Deonte Ademiluyi

    I was able to purchase a home in Wyoming for $0 out of pocket thanks to the Wyoming Community Development Authority. I only needed $500 earnest money!

    There are many opportunities like this in every state. Wyoming is unique in that they need more people here. I see you are from Texas. You may want to take a look at Wyoming if you're familiar with the oil field.

    0Reply
  • Rodger Wilson
    Real Estate Agent · San Antonio, TX · Member since 2019 · 21 posts · 13 votes
    7y

    wholesale ... it is a tough road that teaches amazing skills.

    1Reply
  • Michael King
    Rental Property Investor · Navarre, FL · Member since 2019 · 913 posts · 640 votes
    7y

    Look what I just found on Zillow for you. https://www.zillow.com/homedetails/4937-Stuart-Rd-TRAILER-95-Denton-TX-76207/243579423_zpid/

    For sale by owner. Maybe they'll finance you. Maybe you'll find traditional finance on it? Maybe family will help? Find a way to get that house and either rent it out or move in and rent a room out. 

    One of the podcast guests said he has a sign up in his office that reads, "The answer is always no if you don't ask the question."

    You asked the question and have heard no on here, which surprised me. The difference between an investor and a wanna be investor, is action. Go turn your no into a yes.

    3Reply
  • John Cohen
    Rental Property Investor · Mineola, NY · Member since 2014 · 838 posts · 212 votes
    7y

    @Account Closed is 100% right:

    @Deonte Ademiluyi #1 don’t let anyone tell you you can’t do it! It sounds like you have the mindset to be an investor now you have to be creative.

    @Deonte Ademiluyi my best recommendation would be to invest $1,000 through a crowdfunding website. Get involved with your local real estate investment and NETWORK. Meet 30 new people a year and build a database. 

    1Reply
  • Junior Soares
    Contractor · San Jose, CA · Member since 2018 · 262 posts · 407 votes
    7y

    @Deonte Ademiluyi

    Best advice I can give you is to take the $1,000 and invest In yourself. Grab a few books on investing and learn and perfect a new skillset that can produce lots of income. Theres no better return than investing in yourself. The more income you can generate, the more you can invest! Be patient, take your time and make smart calculated decisions

    Best of luck

    0Reply
  • Matt Hemmerling
    Real Estate Agent · Lethbridge, AB · Member since 2019 · 1 post · 0 votes
    7y

    You would need to find a property that is quite unique. By unique I mean an ideal situation being the owner has it completely paid off, and they are willing to structure the deal with no money down. The monthly payments may only see you break even for the first while, however this should allow you to grow more capital in the meantime.

    There is no such thing as “Not Possible”.

    0Reply
  • Malik Eleby
    King Of Prussia, PA · Member since 2019 · 22 posts · 0 votes
    7y

    @Charles Carillo how did you fund your first rental property

    0Reply
  • Malik Eleby
    King Of Prussia, PA · Member since 2019 · 22 posts · 0 votes
    7y

    @Jordan Moorhead

    How did you fund your first rental property

    0Reply
  • Shawn Coverdell
    Investor · Clatskanie, OR · Member since 2014 · 212 posts · 233 votes
    7y

    If you like weekends off = purchase some 18 inch rims for your Nissan Sentra and up your system, Hope for recognition. 

    If you understand you need to work 80 to 100 hour weeks to build capital. Contact me. You are the rare individual who has what it takes. 

    Shawn Coverdell

    Homes in the Hood

    1Reply
  • Jordan MoorheadBusiness Member
    Real Estate Agent · Austin, TX · Member since 2015 · 5k+ posts · 3k+ votes
    7y

    @Malik Eleby FHA loan

    [email protected]512-888-9122
    The Moorhead Team5140 Reviews
    WebsiteView Page
    0Reply
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