Best way to get into investing with less than $1000?

Question

Hey! I’m new to investing and want to know how I can jump in to investing after learning all I can and finding a great deal… what if I only have less than $1000 to my name… how do I creatively finance the deal, and current and future costs throughout closing the deal and beyond? It makes me nervous to jump into investing with so small of a safety net. Any recommendations or experiences you can share to ease my concerns?

Jay Hinrichs · Answer

AS Nathan stated unless your already connected in the bizz real estate simply is a no money bizzness..  one option is to spend 300 or 400 bucks and study and get your real estate license and go to work on a team ..  let the top producers teach you the business and earn while you learn.. And you never know if you have what it takes to become a top producer after some years of apprenticeship. Once you have income then you can invest over 50% of the people that try real estate sales dont last more than a year or two big wash out rate.

and over 95% of the I have limited funds and I am going to go try to wholesale or do deals on my own wash out.

If you have a large warm market  IE big family  big church connections work connections real estate sales can work.

My Rock star wife did this 35 years ago as a single mother with 3 daughters and within 2 years was the top producer at her C 21 office was it hard darn right .  but once you get your book of business nothing sweeter than to get a referral call go list a 750k home sell it in 2 days and 45 days later pocket 15 to 20k with ZERO risk.. thats where the business can take you..  Or you get really good and start your own brokerage and there are many income niche's owning a brokerage  sales commish is just one.

Scott Mac · Answer

Hi Keisha,

One option would be to get a 2nd job, and save all of the money in a savings account for a year.

Come back and ask: "I have $35,000 cash available for investing what are some of my options?".

Cash is King!

Now getting 2nd job (like a night shift at a BUSY Ihop might) be easy, but it will be hard work--and it might change your life--if you can save the money and not spend it or lend it.

Read Rich Dad Poor Dad...it's a fun read and a good lesson in life.

Just save it up in a savings account.

And make sure your credit score is good enough for a loan.

Good Luck!

Lawrence Briggs · Answer

I agree with @Nathan G. . Put those funds towards an emergency account. Use all the free sources first, such as this Bigger Pockets forum. It has so much wealth of information that is priceless. Real estate investing Podcast like the Rants & Gens is great free knowledge. You can even visit your local library to rent some real estate books, I did that when I was really short on cash to purchase book. Lastly, if you can find a local real estate group, one that does not charge a free to be in it, that would be very helpful. Networking with local investors is very good because the information is catered to your market. Wishing you the best @Keisha Rae M.!

Tracy Selfridge · Answer

I like what Nathan had to say about networking with other investors. Networking alone has been worth every bit of the time it takes to do so for me. Of course you have to provide some type of value so that it is a win win. So I would continue to save and add to that $1,000 and continue to network too, build good trusting relationships with investors. Going down that road will lead to having more opportunity funds and more opportunities to bring value to experienced investors.

Keisha Rae M. · Answer

@Nathan G. LOL! I didn’t mean it like I don’t have an emergency fund. I do, but I don’t want to touch it. I’m just asking if all I have or if I’m only ok with contributing $1000, is that a bad amount to start off with? And if I’m thinking about doing wholesaling and assigning with only $1000 to use, does that amount work to navigate deals? Like I could put $100 earnest money to hold the contract then find cash buyers, etc… what are your thoughts?

Best way to get into investing with less than $1000?

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