Hello from Eastern PA/Western NJ

Hello from Eastern PA/Western NJ

Real Estate Investor · Bethlehem, PA · Member since 2008 · 48 posts · 1 vote

Ok so I've been on this site for awhile.....just lurked....

I became interested in real estate in my early 20's (I'm 24 now) when I realized just how much profit can be had by flipping a car (what I now do for a living).....

Using my knowledge of a select market (VW and Audi's) I could turn a $1000 purchase into a $3500 sale in a matter of days, for a $2000 profit...worked out well for me. I continued to do it, turning $750 purchases into $6500 cars, $2000 to $5000 etc etc..going through many cars

So the more I thought about it, I really enjoyed flipping, and decided if I can flip a car, I can flip a house. So I started out researching my area, lurking on this site, attending seminars, reading books, listening to tapes/seminars while I have been driving, etc...I've met a few investors in my area as well.

I purchased my first property that I currently live in. I have $65k in equity in it that I'm going to pull/credit line to be able to purchase more vehichles and wholesale them, while retailing others. I am also actively looking for properties, just want to really get the cars "in motion" much more than they are now as it can be rather lucrative and still gives me plenty of free time.

I am into investing for the long term, have the skills to make deals/find deals (it's what I've been doing since I was young really), and the ability to network/make friends/partners so everyone makes money, which makes us all happy. I would like to flip a few properties to get some capital, as well as begin to build up a rental income to create stable wealth for my family/daughter later in life.

Again I'm very fortunate to find a site like this, and appreciate any help I can get. I'm amazed at some of the info on here, and the experience some of you guys/girls have. If there's anything I can do to help you (car wise, even real estate wise, whatever really) please PM me and I'll gladly do what I can...

Thanks again and invest wisely!

P.S. I also have access to my local MLS thanks to my dad's gf who is a licenced realtor 8)

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  • Residential Real Estate Agent · Moriches, NY · Member since 2008 · 635 posts · 9 votes
    19y

    German - welcome - i pm'd you about the car flipping.

    basically, what you're doing is perfect for now. listen to tapes in the car is good. get tapes on BUSINESS also. corporations and LLC's and the like and just basic good information on business terms, laws, etc.

    as for investing itself - do you own your own home now?

    a great way, i think, to start is to buy OWNER OCCUPANT. it's a LONG TERM type investment, but if you do it right, man the money can really build up. does it take longer? yes, but i work with two people (married) who do it and they move every 2.5 years. they got a little caught up in their last deal - live on long island and saw the appreciation fall out from under them...but they're NOT overextended on multiple projects/loans like some builders/flippers i know.

    anyhow - heck you could buy the owner occupant for the long term - start a corp or LLC, manage it correctly (paperwork), then start "flipping" - only thing is RISK and how much you're willing to engage in it.

    flipping cars is one thing - flipping houses is another - more liability, more issues to deal with in terms of FINANCING, etc.

    sounds like you're on the right track though so far.

    keep in touch!

  • Real Estate Investor · Bethlehem, PA · Member since 2008 · 48 posts · 1 vote
    19y

    I'll send you an email later tonight about the cars.....i'l give you some tips as to where I've been, and where I'm going and what I've learned along the way!

    As for the business stuff, I actually have my business admin degree.....but have also been doing resaearch on LLC's to start one for the real estate side of things

    As for owning my own home, yes I own it and have about $65k equity in it. Bought it for $100k, and had an instant $65k as thats waht it appraised for......(my parents gave me a deal when they got divorced)....but I plan to use the equity from this house to get a credit line to buy more cars/downpayment on my next property

    I've got pretty good credit, and it'll be excellent when I get the cars off my credit cards and the like (thats what I want to use my credit line for)....debt to income ratio and credit utialization/balances near my maxes looks bad :crying: but hey, gotta finance the cars somehow.....
    Also it'll help me put my credit score up in the high 7/low 8 range, I'm thinking.....I'm low 7's now....but the higher I get it the easier I think it'll help me on my real estate ventures......

    I don't wanna just flip houses, but I'd like to get some capital quick on top of the cars......and eventually start expanding my portfolo with SFH's, MFH's, and some apartment buildings...then finally buy/build an apartment complex...

    Any other tips/etc I'll take as REI is new to me...I mean I really haven't even done my first deal yet :shock: Its coming tho!

  • Real Estate Investor · Bethlehem, PA · Member since 2008 · 48 posts · 1 vote
    19y

    anyone else got suggestiongs regarding my plan? yes, no, maybe?

  • York, PA · Member since 2008 · 227 posts · 0 votes
    19y

    German,

    Welcome to BP from a Central PA investor.

    You're on way and you already have the eye for underappreciated assets.

    Keep reading.

    Good Luck,

    NavyDoc

  • Real Estate Investor · London · Member since 2008 · 3k+ posts · 74 votes
    19y

    :welcome: to BP

    1. Consider adding a signature where you post your name. That way people will be more prone to contact you and how to address you.

    2. Flipping houses is not at all like flipping cars. Mostly because of liquidity and lack of consistency with the product (substitution is hard as no two houses can ever be the same as their locations are unique). I am trying to caution so you do not make too many assumptions that get you in trouble.

    3. Sales skills and dealing with people is very transferrable. Hence you are likely to be successful if you enjoy flipping cars.

    If you have questions find the right forum and post. Lots of experienced people who can help. Some are likely living pretty close to you.

    There is a forum for promoting one's business so once you check the rules consider putting up more info on your car business. You might need to expand into trucks for some RE investors are they tend to like or need work vehicles.

    John Corey

  • Real Estate Investor · Bethlehem, PA · Member since 2008 · 48 posts · 1 vote
    19y

    NavyDoc,
    I tried to PM you back a few times, and it won't let me due to not having 10 post yet :roll: Either way, small time right now, working to get into the wholesale business......and I stay away from wrecks, too much hassle, at least for where I'm at right now..

    John,
    Thanks for the info....you seem to know your stuff here and I have been reading thread (even before my intro) just to see what you say...same with a few others (mikeoh, **********, biggerpo, just to name a few)....you guys all seem to be a wealth of knowledge

  • Real Estate Investor · London · Member since 2008 · 3k+ posts · 74 votes
    19y
    Originally posted by "Germancarfan":

    John,
    Thanks for the info...you seem to know your stuff here and I have been reading thread (even before my intro) just to see what you say...same with a few others (mikeoh, **********, biggerpo, just to name a few)....you guys all seem to be a wealth of knowledge

    Notice the gray hair? You tend to learn a few things if you invest long enough. Hopefully we can share enough so that you and others can learn without earning all the scares directly.

    Bleeding edge implies scares and some blood loss. RE investing is a pretty old way to make money. Many folks choose to learn on the job so more blood loss.

    Good luck.

    John Corey

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