New to Real Estate 路 Miami, FL 路 Member since 2020 路 28 posts 路 7 votes
Okay so about 1 year ago i read a book that changed my mindset called Rich Dad Poor Dad and since then I've been saving up money through some jobs i worked at. I used to read up on books about stocks but i quickly realized i wasn't very passionate about that but then someone recommended me Brandon Turners blue book on Rental Property Investing and i quickly loved the idea of renting out houses or fixing them up.
I'm feeling a bit overwhelmed and i don't know where to really start. Do i educate myself more? Do i save up more (currently have 2,400)? I would appreciate your insights and advice on what i should do and how to start off at 17 .
Investor 路 Irvine, CA 路 Member since 2009 路 259 posts 路 183 votes
6y
WOW! 17 and already thinking about investing - kudos to you. (and I thought I started young (26))
Gaol: buy your first rental before you are 18
what you need to do:
1. Invest in learning how to evaluate and analyse an investment
2. Don't be pressured to buy - take your time
3. Find/follow a mentor - start building knowledge and build your "bible"/checklist
There is so much to learn. and many great resources.
You can signup for a course or spend hours on YouTube/Podcast
If you choose the latter - take notes and come up w/ your Do's and Don't list
If you have no cash - your best option would be seller financing. that will take time to find but will work in your favor.
I hope you hear this one FULLY: If you play this right you can be FREE and CLEAR by the time you are 30-35. There are people in their 40s and after that are still trying to figure it out . . . 17 WOW.
Investor 路 Irvine, CA 路 Member since 2009 路 259 posts 路 183 votes
6y
WOW! 17 and already thinking about investing - kudos to you. (and I thought I started young (26))
Gaol: buy your first rental before you are 18
what you need to do:
1. Invest in learning how to evaluate and analyse an investment
2. Don't be pressured to buy - take your time
3. Find/follow a mentor - start building knowledge and build your "bible"/checklist
There is so much to learn. and many great resources.
You can signup for a course or spend hours on YouTube/Podcast
If you choose the latter - take notes and come up w/ your Do's and Don't list
If you have no cash - your best option would be seller financing. that will take time to find but will work in your favor.
I hope you hear this one FULLY: If you play this right you can be FREE and CLEAR by the time you are 30-35. There are people in their 40s and after that are still trying to figure it out . . . 17 WOW.
Congrats
to you for your ambition! I am willing to
help you out with some advice or even chat on the phone if you wish. But
I recommend you read this article I wrote for Bigger Pockets titled How to Invest in Real Estate Before Turning 21. Once you've read it, let me know your thoughts and if you have any questions. https://www.biggerpockets.com/...
New to Real Estate 路 Miami, FL 路 Member since 2020 路 28 posts 路 7 votes
6y
@Dan Sheeks I'd very much like to have some calls on the phone. Thank you for offering me advice. I read your article and I have a good history of w-2 jobs that provide me with a good enough monthly income. I was planning to get a credit card this year to build a credit score but i didn't know different types of credit cards existed (secured, insecured). Whats the difference between the two? Also i read the part about saving up and i have a plan to House Hack in order to receive the benefits like low down payment but one thing i can't stop thinking of is how expensive the houses are here (Miami). Even if the down payment were to be less than 5% it would still be alot given that the average houses here cost 200,000 (in pretty dangerous neighborhoods)and for a good neighborhood prices only go up. Maybe I'm getting over my head but the prices here are what worry me and any advice on that would be nice.
A secured credit card means you put down a cash deposit against the card, unsecured is a typical line of credit (the type of credit card you imagine when talking about one). Definitely get a credit card, and be responsible with it, it'll be a valuable tool to have.
The houses in your area only seem expensive because you're 17 years old. That's not a knock on you or your age...in fact everyone here is jealous of you and your ambition (if only I had started at 17...). But in a decade or so you'll be kicking yourself for not buying sooner. Expensive/Cheap...its all a matter of perspective.
The best advice I can give is to keep educating yourself. Rich Dad Poor Dad is a great book but there are soooo many other great books that will teach more and more. Keep going to the library and learn more about personal finance. You're at the beginning of your journey, enjoy the ride. Have you heard of the F.I.R.E movement? Look it up, if you don't know of it, it will change your life. I highly recommend reading the Mr Money Mustache blog: https://www.mrmoneymustache.com/
MMM is a great resource, it'll help you wrap your head around other ways to save, earn, invest and build wealth. Real Estate is awesome, but a good investor is a well rounded one. Whether is saving on taxes, investing in real estate, finding mutual funds to park your money into, understanding interest (and compound interest) or just knowing the difference between high yield bank accounts. It's all important.
But don't feel overwhelmed...it's one small step at a time and you have lots of time to figure it out. In all actuality, you'll be "figuring it out" your whole life, we all do, so don't stress :) At the same time, don't be afraid of jumping right into it. You have so little to loose and soo much to gain.
Realtor 路 NY 路 Member since 2020 路 167 posts 路 169 votes
6y
@Steven Rodriguez, you have started by doing the right thing which is asking questions, your mind is in a good place, keep inquiring, keep your curiosity up, keep learning, absorbing and asking, don't ever feel that you are annoying anyone by asking questions, read books, attend webinars, you are in a good place in life in that you don't yet have a mountain of bills to pay. utilize that time to build your knowledge @Dan Sheeks has stretched out a helping hand to you- that's a very good thing and a very important type of relationship you need- someone to talk to, ask those questions, clarify your thoughts, get guidance. Keep at it Steven, looking forward to seeing more questions from your inquiring mind.
Real Estate Syndicator 路 Milwaukee, WI 路 Member since 2018 路 1k+ posts 路 907 votes
6y
Great book! That is the same book that got me interested in real estate. You are heading in the right direction. Continue the education piece for now. Books, podcasts, the forums on here, local networking events are all great ways to learn the basics. Continue to stash away money and don't be afraid to invest some of it in educational content and/or groups. Once you feel confident and have the necessary funds saved up you will be ready to take down your first deal.
Thank you all for the advice. I'm new to this website so is there a way to say thank you like for example giving reviews (i see votes under all your names)? Or friend requests?
Wholesaler, Rehabber and Landlord 路 San Antonio, TX 路 Member since 2014 路 2k+ posts 路 2k+ votes
6y
I would start out by filling out your profile. Where do you live will make a big difference. Meet with people in your area, or you can find people in your area to talk with directly. Also, set up your keywords so that you can see discussions about what you are interested in.
Rental Property Investor 路 Los Angeles, CA 路 Member since 2013 路 1k+ posts 路 1k+ votes
6y
@Steven Rodriguez my biggest advice is to get a job where you can get paid to learn: ie ideally at a property management company but even a construction company, painting company, handyman job, realtor鈥檚 office, etc. would all be great. Buy the book Set For Life by Scott Trench which is a great book to read in this season of your life! You can also research the concept of house hacking here on BP. Even if properties are not super cheap in MIA you can buy a house with 3.5% down to live in someday and rent rooms out to help pay for the mortgage.
Attorney 路 RI 路 Member since 2019 路 157 posts 路 93 votes
6y
@Steven Rodriguez wow! I wish I started out when I was 17. BP is a great place to start! Another book I highly recommend is "Set for Life" by Scott Trench. I liked it more than "Rich Dad, Poor Dad" and it really motivated me to stop spending money on unnecessary things. I also recommend networking and talking to as many people as possible. Not everyone has taken the same path and you can learn a lot just by having conversations with people. Don't stop educating yourself!
I went to UM for college and I can tell you that rents aren't cheap either in Miami! You may be able to find a cheaper condo or single family home and rent out rooms to students while you live there. Students are willing to pay higher prices for rents. You might also be able to find a property that may need some work, but might be in a better area.
I work with some lenders and realtors in Miami, so I'd be happy to refer you. Feel free to PM anytime!