Where to start as a College Student?

Question

Here is a little background to my question:

I have been listening to Bigger Pockets for over a year now. I am currently 23 and in college. I currently live with my parents, and am looking to move out and start house hacking. I don't really have much money to get started, and I am working on trying to save up for a down payment. I am aware of low money down options, but I would like to have a more consistent income stream to reduce this risk. I also work at a real estate office (as a licensed agent) where my broker allows me to take one home and apply all of my commission to help me purchase my own home.

With my love and some experience in finance, real estate, and construction I really want to get started in investing today. I am a little worried about my lack of consistent income and savings. I am also not sure if I will move to a different state, or stay in Central Texas when I graduate. I have been looking at different properties and began running numbers to practice and see if they were something I would consider a good deal for me.

I am really just looking to see if my thought process is on the right track or if anyone has any suggestions for further steps to take!

Thank you guys!! Looking forward to learning from y'all!

Tamara Deering · Answer

@Elijah Danielsen

Congratulations on your forethought.  I think you should definitely start right away.  As an agent you have access to the MLS, search on properties with owner financing.  You will find houses that are owned by investors that are overpriced, properties that need a lot of work that are overpriced and maybe an option that will work for you.  You may also be able to find or make your own opportunity by looking at rentals that are vacant, maybe the owner is tired of being a landlord and would be willing to owner finance to you.  The reason I suggest this route is two-fold, one the owner really has very little risk, if you default they are in first lien position and can take the house back.  The second reason is that typically the income verification on owner finance deals is less important than the down payment but the interest rate is lower than hard money.  If you are willing to house hack you can easily cover the mortgage and live virtually rent free while building equity.

Go for it.

Steve Kontos · Answer

@Elijah Danielsen

Truth be told while you are BEGINNING to build a foundation for yourself, it's not there yet.  I highly recommend attending various events and network with others who have actually invested successfully.  You can just tell in the tone of your post that you have uncertainties there and by exposing your brand to more individuals, it will help remove some of those uncertainties.