How to get over analysis paralysis on the first deal!!
Any tips on getting over the initial fear of the first deal would be much appreciated!! I currently made an offer on a single family home in joliet, IL. I've ran the numbers and it should cash flow around $250-$300 per month after all expenses paid. What were your first rentals cashflowing? I know analysis paralysis is normal but how did you stop it from keeping you out of the game? Thanks for any tips!
@Ursula Leake I know!! I figured 5k and I think I'll still be a little under! If it were easy everyone would do it...don't get discouraged but yes asking the seller to help out with closing costs is a great idea and its worth a try!
@Jamie Kammers
I’m so happy for you. My fiancé and I will also be starting our journey into real estate investing. I’m sure it will be easier from here on our after you’ve gotten the first deal out of the way. Congrats again
@Gregory Johnson Thanks Gregory and good luck to you! You're blessed to have a partner to share this journey with you!!
Originally posted by @Jamie K.:@Bruce Runn yes I'm using 5% vacancy and plan on managing myself. That's great to hear about your rents not suffering due to covid because that was a huge fear for me!
And yes it's hard for me as a new investor to not low ball an offer. I'm always trying to make the deal better. Thanks for making me realize that in actuality the extra thousands put on the offer only equal a small amount monthly etc. Your input is invaluable thank you!
One of my mentors is a property manager in Aurora. He's been in the RE business for 40 years.
If you'd like some insights into property management, he might be a great resource for you.
The cashflow you mentioned is the usual cashflow you'll get for rentals monthly. To overcome analysis paralysis, set a deadline and keep your goals clear.
All the best!
@Jamie Kammer
Congrats on putting in an offer! I am also in the Southwest suburbs of Chicago and am new to real estate investing. Finding the deal and taking action were the hardest parts for me. After that it has been smooth sailing so far. Good luck with the offer!
@David Dachtera 40 years experience is pretty impressive! I'd love to thanks!
@Jim Panozzo thanks Jim! Keep in touch!
Originally posted by @Jamie K.:@Cameron Tope that's a great way of looking at it because I have passed on a few deals and regretted it. I guess I'm just afraid of the unknown. My goal for 2020 was to get my first rental and I just got an accepted offer! I'm excited but still scared and hoping it will subside eventually! Thanks for your reply!
Jaime,
Congrats on getting an offer accepted! Having a healthy amount of skepticism isn't a bad thing. You always want to be looking at what can go wrong and how best to mitigate it - just don't let the fear petrify you.
Best of luck!
