Recommendations for a future real estate entrepreneur

19 Replies

hello everyone! My name is Frank and am studying real estate in the little free time I get. 

MY BIG QUESTION,.....

Is there anywhere in the industry I can hop right in and make enough money to cover my $1500/month bills while learning the ins and outs? 

I'm asking because I have been working In the North Dakota oil patch for the last 3.5yrs and have been making the best money of my life! But times are tough now. I use to only work half the year and gross $95k/yr. Well I work 30% more now and have been  making quite a bit less. They laid off 3 guys off my crew today! Great workers and one of them was a supervisor. They also just took away our flights and are trying to force us to completely relocate up here or quit! North Dakota is not my cup of tea! I love the mountains of NM and CO (pretty much where I consider home). I'm 28 and have a good brain in my noggin even though I don't have any college papers to prove it! But have passed 3 engineering tests in my field if that says anything! 

Please if anyone knows how  I can start making enough to pay my bills and learn real estate at the same time, I would greatly appreciate your advice! Thank you in advance for any responses! 

  

                                                   Frank Kratochvil 

I hear people are making big money on cheap houses in Saginaw

I guess I should add a little detail to my post above to buy in Michigan...I know people criticize Detroit specifically and Michigan overall but we don't actually live/invest in Detroit (although I would consider investing there too). We live in Port Huron which is a beautiful Michigan town on Lake Huron. The market has everything from turn of the century fixer Victorians for $15K to million dollar mansions. There is a really strong rental market where hard working families are willing to pay $800+ for a 2-3 bedroom. If you keep an eye on the market here you can pretty easily buy nice properties (we like built post-1960s, family neighborhoods with few rentals, good structural bones) that need $2k to $10K of renovation for $25K-$30K/per unit (of course all the way up to $100K per unit with less reno needed if that's your thing). We moved here from California because I'm a professor in Canada and commute back and forth and have fallen in love with the Midwest (never thought I would but I did!) You can't find these types of financials in California which is why after 20 years of dreaming of becoming a real estate investor, my dreams are finally coming true here because the numbers finally make investing worth it (and thanks to BP to give me the courage and know-how I needed). 

We now own 5 units here in Port Huron/Fort Gratiot and don't even put yard signs out to promote our rentals because the demand is so strong. I LOVE THIS BUSINESS! We've even been able to convince my brother in law who works in the movie business in Hollywood to come tomorrow to visit and take a first hand look at the opportunities to invest here. 

I would recommend to you that you reach out to some of the investors here in Michigan or in Minnesota (seems there are good deals there too) or some of the other Midwest markets and see if you can't partner with them. Hope that helps!! 

I rather not invest in Port Huron because the city (the gov't) can be a pain to deal with at times but the numbers are too good to pass up. I've picked up some great deals just outside of Port Huron but Port Huron always had great deals available.  

I guess I am kind of bias but I agree. I invest in the suburbs of Port Huron (but no longer in Port Huron) and the demand is high. I would not just limit my purchases to this area though as many suburbs of Detroit have the same types of deals/demands. Michigan is a great state to invest and the state is once again thriving :D

I guess I am kind of bias but I agree. I invest in the suburbs of Port Huron (but no longer in Port Huron) and the demand is high. I would not just limit my purchases to this area though as many suburbs of Detroit have the same types of deals/demands. Michigan is a great state to invest and the state is once again thriving :D

I guess I am kind of bias but I agree. I invest in the suburbs of Port Huron (but no longer in Port Huron) and the demand is high. I would not just limit my purchases to this area though as many suburbs of Detroit have the same types of deals/demands. Michigan is a great state to invest and the state is once again thriving :D

I guess I am kind of bias but I agree. I invest in the suburbs of Port Huron (but no longer in Port Huron) and the demand is high. I would not just limit my purchases to this area though as many suburbs of Detroit have the same types of deals/demands. Michigan is a great state to invest and the state is once again thriving :D

I guess I am kind of bias but I agree. I invest in the suburbs of Port Huron (but no longer in Port Huron) and the demand is high. I would not just limit my purchases to this area though as many suburbs of Detroit have the same types of deals/demands. Michigan is a great state to invest and the state is once again thriving :D

I guess I am kind of bias but I agree. I invest in the suburbs of Port Huron (but no longer in Port Huron) and the demand is high. I would not just limit my purchases to this area though as many suburbs of Detroit have the same types of deals/demands. Michigan is a great state to invest and the state is once again thriving :

I guess I am kind of bias but I agree. I invest in the suburbs of Port Huron (but no longer in Port Huron) and the demand is high. I would not just limit my purchases to this area though as many suburbs of Detroit have the same types of deals/demands. Michigan is a great state to invest and the state is once again thriving :

Originally posted by @Dante Pirouz :

I guess I should add a little detail to my post above to buy in Michigan...I know people criticize Detroit specifically and Michigan overall but we don't actually live/invest in Detroit (although I would consider investing there too). We live in Port Huron which is a beautiful Michigan town on Lake Huron. The market has everything from turn of the century fixer Victorians for $15K to million dollar mansions. There is a really strong rental market where hard working families are willing to pay $800+ for a 2-3 bedroom. If you keep an eye on the market here you can pretty easily buy nice properties (we like built post-1960s, family neighborhoods with few rentals, good structural bones) that need $2k to $10K of renovation for $25K-$30K/per unit (of course all the way up to $100K per unit with less reno needed if that's your thing). We moved here from California because I'm a professor in Canada and commute back and forth and have fallen in love with the Midwest (never thought I would but I did!) You can't find these types of financials in California which is why after 20 years of dreaming of becoming a real estate investor, my dreams are finally coming true here because the numbers finally make investing worth it (and thanks to BP to give me the courage and know-how I needed). 

We now own 5 units here in Port Huron/Fort Gratiot and don't even put yard signs out to promote our rentals because the demand is so strong. I LOVE THIS BUSINESS! We've even been able to convince my brother in law who works in the movie business in Hollywood to come tomorrow to visit and take a first hand look at the opportunities to invest here. 

I would recommend to you that you reach out to some of the investors here in Michigan or in Minnesota (seems there are good deals there too) or some of the other Midwest markets and see if you can't partner with them. Hope that helps!! 

   Thank you so very much for the advice! Port Huron and Michigan sound like a solid place to invest! 

   Problem for me is that  99% of what I own is in New Mexico. And with me about to leave my job, I need to be extra diligent with my financial decisions. So meandering around Michigan and looking at/for deals makes me nervous. 

   I'm very new to BP and Real Estate investing in general. I've been studying as much as I can in my very limited free time( I work 18hrs/day on average). But that is about to change after Monday. I still have yet to learn the basics of BP and how it all works. 

   I bought a house for my parents in Carrizozo NM (where I did the majority of my growing up)at the beginning of last year. I still owe $50k on it. And with my mother being real ill, I don't want to be to far from her! Yeah I'm a mamas boy lol. 

   I grew up in poverty and have been gradually moving up in the world. But I feel I will accelerate the journey by becoming my own boss and working with like minded people and partners via Win-Win-Win deals in the world of real estate! 

                                            Thank you Dante and everyone for your input 

                                               Frank Kratochvil 

Then I would say focus on New Mexico! That's good news! You have a reason to focus on that market and there are good opportunities if many places around the US it's just a matter of becoming knowledgeable about your market! Connect with BP people who are succeeding in New Mexico and learn from them. That's how I learned to make Michigan (which many people don't believe is a good market) work for my company! I think you are on the right path! Keep learning and analyzing and take one step at a time in New Mexico...plus I love it down there so when you get a beautiful ranch property that you want to sell...I may be the customer who buys it!! Keep us all posted!!

 Thank you Dante so very much for your words of wisdom and inspiration! I will take your advice to heart! I'll also keep my eyes peeled for your enchanting NM ranch.

    And to be a off topic for a sec, I love your name quite Frankly;). 

                                           Take care and thanks again 

                                                             Frank Kratochvil 

@Frank R. 
   Thank you Frank! I will be learning as much as I can! Hopefully I can get the basics all down in a short amount of time. I will keep everyone updated and if I come across deals that I am not ready for I will definitely pass the info on to the BP family!
Originally posted by @Frank Kratochvil :
Originally posted by @Dante Pirouz:

I guess I should add a little detail to my post above to buy in Michigan...I know people criticize Detroit specifically and Michigan overall but we don't actually live/invest in Detroit (although I would consider investing there too). We live in Port Huron which is a beautiful Michigan town on Lake Huron. The market has everything from turn of the century fixer Victorians for $15K to million dollar mansions. There is a really strong rental market where hard working families are willing to pay $800+ for a 2-3 bedroom. If you keep an eye on the market here you can pretty easily buy nice properties (we like built post-1960s, family neighborhoods with few rentals, good structural bones) that need $2k to $10K of renovation for $25K-$30K/per unit (of course all the way up to $100K per unit with less reno needed if that's your thing). We moved here from California because I'm a professor in Canada and commute back and forth and have fallen in love with the Midwest (never thought I would but I did!) You can't find these types of financials in California which is why after 20 years of dreaming of becoming a real estate investor, my dreams are finally coming true here because the numbers finally make investing worth it (and thanks to BP to give me the courage and know-how I needed). 

We now own 5 units here in Port Huron/Fort Gratiot and don't even put yard signs out to promote our rentals because the demand is so strong. I LOVE THIS BUSINESS! We've even been able to convince my brother in law who works in the movie business in Hollywood to come tomorrow to visit and take a first hand look at the opportunities to invest here. 

I would recommend to you that you reach out to some of the investors here in Michigan or in Minnesota (seems there are good deals there too) or some of the other Midwest markets and see if you can't partner with them. Hope that helps!! 

   Thank you so very much for the advice! Port Huron and Michigan sound like a solid place to invest! 

   Problem for me is that  99% of what I own is in New Mexico. And with me about to leave my job, I need to be extra diligent with my financial decisions. So meandering around Michigan and looking at/for deals makes me nervous. 

   I'm very new to BP and Real Estate investing in general. I've been studying as much as I can in my very limited free time( I work 18hrs/day on average). But that is about to change after Monday. I still have yet to learn the basics of BP and how it all works. 

   I bought a house for my parents in Carrizozo NM (where I did the majority of my growing up)at the beginning of last year. I still owe $50k on it. And with my mother being real ill, I don't want to be to far from her! Yeah I'm a mamas boy lol. 

   I grew up in poverty and have been gradually moving up in the world. But I feel I will accelerate the journey by becoming my own boss and working with like minded people and partners via Win-Win-Win deals in the world of real estate! 

                                            Thank you Dante and everyone for your input 

                                               Frank Kratochvil 

 There are two things in your post that caught my eye.  First, I looked up your town on Google.  Not a lot of property there, and not enough population.   It appears, correct me if I'm wrong, it is not near a major NM city.  

First, you said meandering around Michigan makes you nervous.  In this profession, nervous is usually a sign of something good, IMO.   When I bought my first property, I was scared to death.  I was worried about every little thing, and wasted a lot of time and money going through that emotional roller coaster.  You are on this board because you are a risk taker.   If $$ is being printed in Pt. Huron, then why fight it.  Go see the area, find a duplex you can move into, and use your $$ to sart building relationships there.  If it scares you, you are onto something, IMO.

You also said you work 18 hours a day average.  I own four units, about to land two more, and you know what I love about real estate?  After the rehabs of my first four units, I get checks in the mail.  Every month.  I take those checks to my bank and deposit them in my business account.  I do next to nothing for that cash.  And my tenants are paying off all the bills, and the mortgage, and best of all, I pray and ask God for wisdom on every applicant, and nearly all of them end up being very independent, and take care of their properties without my help.   I still have my job, and in real estate, I am always a student, which makes it so FUN!!

You can do this.  

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