19 Years old. No Equity. No w2. 30k cash. What to do?

7 Replies

Hey BP Nation! I hope y’all are having luck in your endeavors!

I have a question for all of you!

I'm 19 years old. I want to start investing using the BRRRR Strategy. Mainly any markets with good cash flow. I have no parents to co-sign for me, and I also do not have any credit history or loan history. Been playin cash for everything. I've spoken to many hard money lenders and private lender and they all say I need more skin in the game. I'm actively searching my options. Just asking on here to see if anyone could give me a few tips or advice on how to take the next step. I'm very determined and I have a passion for this industry and open to pretty much any ideas. Let me know! Thanks BP Nation!

Hey @Ian Parsons  when I started out my mortgage broker told me to get a credit card to establish credit history. I would do that if I were you, start using a credit card opposed to paying cash to establish credit history. Then you are going to want to find some W2 income. This will allow you to avoid using private money and secure traditional financing. These two steps will help you be able to put a smaller percentage down on the property, get lower rates and get tax benefits of owning a principal residence.

Congrats on starting so young thinking about real estate investing.

Good Luck

Congrats to you for your ambition! If you are looking to connect with someone for some guidance or advice, feel free to reach out. I also recommend you read this article I wrote for Bigger Pockets titled How to Invest in Real Estate Before Turning 21. Once you've read it, let me know your thoughts and if you have any questions. I am a high school teacher in Colorado and I am always looking to help young people get started in real estate investing or help in any way I can. Let me know if you want to chat sometime. https://www.biggerpockets.com/.

@Ian Parsons

Recommended steps are:

Job

Credit Card

Installment Loan

Real estate empire


BRRRR is very debt intensive. Credit score required with banks and experience required for hard money lenders. Get established on paper then move into hard money when you start to hit debt to income challenges with a traditional lender.

Originally posted by @Ian Parsons :

Hey BP Nation! I hope y’all are having luck in your endeavors!

I have a question for all of you!

I'm 19 years old. I want to start investing using the BRRRR Strategy. Mainly any markets with good cash flow. I have no parents to co-sign for me, and I also do not have any credit history or loan history. Been playin cash for everything. I've spoken to many hard money lenders and private lender and they all say I need more skin in the game. I'm actively searching my options. Just asking on here to see if anyone could give me a few tips or advice on how to take the next step. I'm very determined and I have a passion for this industry and open to pretty much any ideas. Let me know! Thanks BP Nation!

While I generally agree with the obvious "get a job", it doesn't need to be W2. I wasn't W2, I was self-employed and found other ways to finance the transactions, starting with Fix & Flips.  That way I was able to make some big bucks and fund my own.

@Mike Baxter

Hey Mike, I would think that it crushes your sole to hear everyone say "get a W2" and build credit for a couple years. It sounds to me like you are way past that already....your hustling. Don't kill your momentum taking a W2 just to save a few points on interest. Your young and there's no better time to take risk! I'm in New York so there's not many deals that would work with only 30K but maybe there are in your market? If the numbers work and you can afford to do it with hard money (@8%) then do it! 💪🏻

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