Getting "In" and Creating A Career?

8 Replies

I want to get into Real Estate, specifically Multifamily investing. (although, considering my position,I'm wondering if I should start with single family to four plex range?.. because 12 units at 100k/unit would be 1.2M needing ~400k down which I don't have access to right now.)

I was in university for accounting, hurt my back and then decided that I did not want to pursue accounting. Spent a good amount of time rehabbing myself. So now I'm 24, no equity, no "formal" education. 

I have studied a lot of online courses in various subjects (psychology, marketing, advertising, Tony Robbins, Sam Ovens, etc.). I've been following Grant Cardone and learning a lot from his content. I purchased his Real Estate Course ($10K, no I did not pay anywhere near that but did purchase it from him directly) and studied that - it really helped me understand a lot more! I can underwrite a commercial property. 

Growing up I watched and helped my dad rehab houses. I've been there when he got a house, completely gutted the entire thing and reno'ed it on his own in about 30-40days, everything above code. I can walk most neighbourhoods and look at a house and tell you within 15-20k what it costs without going into detail on it. I know how much various repairs cost. (My dad just does not do that anymore, getting older, works a completely different job, has no interest in doing this again.)

Now I'm considering if I should get more hands on mentoring where I live. I was looking at Rockstar Real Estate (Rockstar Inner Circle) (In Toronto), they have a membership which includes learning and mentoring. But I'm not sure how that would translate or help with my barrier to entry?

Ideally I could get a job in the field and learn and make some money. But honestly, in the right vehicle I'd work for free.

Originally posted by @Hai Loc :

Where are you now?

How much capital?

What job field?

Honestly, I'm at square 1... I had hurt my back really bad and was not doing anything other than self studying. Now I'm in a better position to actually do something, and I'm really trying to figure out how to get into this.

I don't personally have any capital. But for a flip, in the future, I know my parents would be able to help me with maybe high 5/low 6 figures. (But if that's does not happen, I'd still like to figure out my own path as well.)

 

@Daniel S. If you're looking to get in and create a career out of multifamily syndication you're going to need help. You can do this on your own, but you're going to have trouble and it's going to take you a while. While studying Tony Robbins and Cardone can help, it's not going to give investors confidence investing with someone who has never done a large scale building before. 

My suggestion would be to team up with a coach or a mentor that can show you the business and get you involved in a deal. Expect to pay significant money for some one-on-one coaching, but that's going to cut YEARS off your learning curve. Be careful though, there are several coaches in this space that don't have experience or are not what they advertise. Feel free to PM me for my suggestion.

If you can't afford a coach, i'd focus on attending events, networking, and learning as much as you can. Podcast, books, and videos are all good, but eventually you need to do a deal to learn. 

If I were you, I would consider getting a real estate license and joining a commercial real estate brokerage. Up until March of this year, I was a software consultant making very good money in the tech field. However, I knew it wasn't a career I wanted to pursue long-term and I also knew that I wanted to invest in commercial real estate. As a result, I figured there was no better way to learn the business than to broker deals and operate within the commercial sphere every day. 

I can honestly say the knowledge I've gained and the relationships I've built over the last 6 months have been invaluable and will continue to serve me throughout my investing career. Although it can take some time to build your book of business, I'm a big believer that there is no substitute for experience. Hope this helps.

All the best,

I would say your best route is to house hack. Many mortgage companies will allow you to get into a house for no money down. (I am doing this now) Then you can rent out the other units in the property and you can essentially live for free. While not paying to live, you can then begin raising funds to begin investing in other properties. I think large multi-family will have to wait for a few years though. 

Originally posted by @Raphael Collazo :

If I were you, I would consider getting a real estate license and joining a commercial real estate brokerage. Up until March of this year, I was a software consultant making very good money in the tech field. However, I knew it wasn't a career I wanted to pursue long-term and I also knew that I wanted to invest in commercial real estate. As a result, I figured there was no better way to learn the business than to broker deals and operate within the commercial sphere every day. 

I can honestly say the knowledge I've gained and the relationships I've built over the last 6 months have been invaluable and will continue to serve me throughout my investing career. Although it can take some time to build your book of business, I'm a big believer that there is no substitute for experience. Hope this helps.

All the best

+1 for this.

Daniel, with no income that you mention and an all options mentality it seems like a good fit for you to try. Your work ethic, interest and passion to succeed will determine pretty quickly if you’re going to be successful. Better to learn that fast and pivot back into something else that pays well so you can start putting away cash for deals. You wouldn’t be the first investor who doesn’t like their day job but is working towards some day being rid of it.

Also, you’ll know from listening to GC that he doesn’t do or recommend anything in half measures. His minimum 32 doors first deal is quite the mountain for you to overcome without experience or capital. Finding partners by being in the industry may help with that. Frankly, I see GCs logic, but also some of that 32 doors minimum waffle is to paint an insurmountable picture and encourage you to think about investing with him instead.
 

I very much appreciate all the responses! It means a lot!

As far as house hacking goes, I figured it could be something to help me get my foot into the door. I know that you can purchase a home with 5k-10k (or as you say with no down). I am only worried about having a few months reserve saved before doing so, just in case something does not rent, or another problem occurs. (Or is this an unnecessary "road block" in my own mind?)

@Raphael Collazo I've honestly never even thought about that. I just need my real estate licence (and resident and commercial both go under the same licence!..  I did not know that.) 

And now that you do mention it, that makes so much sense for me!  I would be in the industry working with commercial property, learning hands on. I get to meet other brokers, buyers, etc., and make connections. I know certain Commercial Companies also offer courses and mentorship within the company - so that might just be my best bet!