23 Out of College with 100k?

33 Replies

Originally posted by @Will Barnard :
Originally posted by @Ryan Verbist:

@Will Barnard

Thank you again for that last piece of advice. Looking back that was not the brightest idea. Just really excited about the subject matter. Will make sure to remember that in the future.

Ryan

Perfectly understandable as real estate is very exciting to us. It is good to be excited and passionate, just be sure to keep emotions out of purchase decisions and other big decisions like partnerships, etc. Now find out what type of investor you want to be and get at it.

Love it! Thanks again Will. And I appreciate the bit on emotional intelligence. Wise words.

Ryan

Originally posted by @Brittany Burfict :

@Lamont Marable I would love for you to be my mentor if at all possible? I’m new to real estate and I have no guidance

I'm thankful you would consider me as your mentor Brittany.  Unfortunately, I'm not in a position to offer such services.  Super duper sorry about that.  I would find a coach through here or on Youtube.  Find someone that you can connect with and then reach out.

 

@Ryan Verbist - think as if you were (almost) broke! Having cash in the bank can keep you from becomming a smart investor. You can fix almost everything with more money. If you have a hammer everything looks like a nail.

A lot of people reach out to me about investing in Milwaukee and once in a while I have someone who just inherited a bunch of money and now they want to get into real estate investing. While I totally agree it is a much better idea than bringing it to Wallstreet, I can typically sense that they are in it for the ROI and not for their passion for real estate. That usually does not go well - they get into a deal too fast and with too much money and then they get cold feet and want to cancel the deal. I have learned to not take people with windfall money on as new clients.

The other piece of advice I would like to leave you with is be careful who you partner with - things chnage and most peratnerships I have seen will end up in "divorce" and sometimes expensive. So while it may be a good idea to have a running mate, always keep in mind that one day you will probably have to un-tangle what you have created. So maybe a good idea that you work together, but don't take ownership of the same property together. One for him, one for you etc.. - easy to move on and no hard feelings to burden your friendship. 

Good luck to both of you!

If you are all business, it sounds like you just need to find a market. 
Find the market you are in, swing for base hits not home runs, the score will follow, don't lose focus. The worst way to learn how much 100k really is, is to spend or go through it all. You have ideas and supplies to make it happen. Do you want buy a multi home? Buy one you guys can afford and save cash for side investments as well as other future expenditures and make that lot of yours cash flow! Location, location and well managed location!

@Ryan Verbist congrats! Excited and happy for you and your friend.

You are young so everything that comes your way may be appealing or attractive. The hardest part for you right now is determine your main focus and keep on that track. Don't get sidetracked.

Reverse engineer your financial and end goals. For instance, where do you see yourself 5-10 years from now. Now break that down in steps from then to now.

Good luck and happy investing!

Hi @Ryan Verbist and welcome to BP. I read your post and thought it was going to say something like you ‘just graduated college and have $100k in DEBT but want to get started in real estate’. When I saw that instead you have $100k in CASH, I was really impressed. That’s no easy feat, so well done.

Assuming your pile of cash wasn’t an inheritance or gift or something similar, it sounds like you’re savvy with your money and have made good choices thus far.

With that said, I’d consider investing some more time learning the industry before investing your money. Lean on your network there in LA to have them break things down for you. And of course, spend time on the forums here on BP reading and asking questions. I only wish I had gotten my start as young as you are. Good job

Before even thinking about doing a deal I suggest defining what REI you want to specialize in (flips, sfr, small multifamily, large multifamily, etc.). Then figure out which market you want to invest in. Proceed with building connections in that market. Meanwhile consume as much educational content and attend as many meetups as possible. Once you find the right deal, pull the trigger.

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