I feel that I'm currently ready to move forward, I want to start my real estate investing journey.I have been studying the topic for a month now. I have read lots of posts on BP, I have watched many real estate investing videos, read some books, and I have watched a complete creative real estate investing course video series (free, but very useful). Some may say that I should wait it out until I gain "enough" knowledge to be comfortable when I start, but I'm not going to let anyone stop me from doing what I want to do. I don't care about failing because this is what I want to do.
The reason for this post is that I want people to share their ideas with me and everyone on BP about how we can physically start in REI. For example, experts in wholesaling explain how to start as a wholesaler by either assigning contracts or doing double closings, rehabbers explain how to start by buying--fixing--selling houses, etc. I understand only so much can be taught through visually learning rather than hands on, but that's the point of the post, for people to explain how to physically start.
For those beginners that read the posts made by other people, please take into consideration that the info is only useful if you take action. Which is the point of this post. TAKE ACTION.
a) learn what a deal is and how to evaluate a property: generally a property you can purchase below market value that can be resold immediately for some profit (wholesaling), resold after fixing it up for larger profit (fix and flip), or rented out for positive cash flow (buy & hold)
b) find sources of deals - realtors who work with investors, wholesalers, or your own marketing or even simply search your local RE website that has MLS listings looking for deals
c) build a team - you will need deal sources, contractors, legal and accounting advice, lenders, equity partners, buyers, etc.
d) choose an approach, find a mentor, and set some goals
e) line up some cash, equity partners cash, or lender funds
f) get moving - take action (ie - look at potential deals on paper/online and in person and make an offer on one where the numbers work)
You might enjoy our podcast 103. I had a chance to spend an hour talking about our strategy and business.
The key is to act! In our experience the first house has not been as good as the second and so forth. That being said, its important to act and not wait for the deal of the "century" because how many deals will you be giving up for that one "deal".
@Doug McLeod Thank you for the post, I find it very helpful.
@Elizabeth Colegrove I will listen to the podcast.
We decided to get back into REI a few years ago after some problems in VA. Moved assets from the stock market into a personal 401k account. Started buying buy and hold 50k houses (owner financed, not rented) in my market. I did this with the help of an expert contact I know. Everything in REI is made easier with experts guiding you. find one on here in your area :)
From the lending side my advice is to first get pre-approved for financing. You can then figure where it is best to purchase and go from there.
@Gilbert Velez Having mentioned that you have lurked here for a while, and now, started this thread, would you care to summarize your deal analysis formula/s, your intended market/s to invest in, and your CoC and/or NOI expectations? It's time to get down-and-dirty! Cheers...
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