Newbie from Los Angeles ready to start REI

Newbie from Los Angeles ready to start REI

Real Estate Agent · Los Angeles, CA · Member since 2017 · 125 posts · 37 votes

Hello everyone!  My name is James (Kee June), and I'm from Los Angeles.  I've been working in the government field doing sales/marketing and promoting trades for the past 13 years.  "Rich Dad, Poor Dad" by Robert Kiyosaki & Bigger Pockets have inspired me to pursue a 2nd career in real estate recently, and I plan on taking my Real Estate license exam in March.  My goal is to generate passive income through buying rental properties, house hacking as well as establish a career as a real estate agent working with investors.   

Me and my wife were able to save enough for a down payment and were very close to buying a property in the suburb, but we've decided to back out as we've realized buying a house won't generate our asset into more asset, instead it will create more liabilities.  That's when I came across Bigger Pockets and learned about house hacking, and how it can generate passive income and build asset into more asset.  I'm true believer in learning through personal experience, and I'm currently looking for a profitable house hacking opportunity in my region.  Through this experience (hopefully a successful one), I'm hoping to gain more knowledge and confidence to be able to share and provide opportunities to others.

There are so many great contents, information, and open-minded members in BP community, and I look forward to connecting with many like minded people.  I would love to hear about any local meet up events and newbies or season members around my area.   Any advice and suggestions on how to get started will be much appreciated.  Thank you all!  

  James

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  • West Hills, CA · Member since 2016 · 26 posts · 3 votes
    9y

    Welcome

  • Real Estate Agent · Los Angeles, CA · Member since 2017 · 125 posts · 37 votes
    9y

    @Marina Flu thank you!!

  • Investor · Coppell, TX · Member since 2008 · 2k+ posts · 646 votes
    9y

    Hello and welcome to BP!  I can say that license will not necessarily help you as an investor but the people you help might be one of your investors or a Partner.  Hopefully, you allready know a broker that will hang your license and be flexible with you.  I live in Texas and had an active broker license for about 30 years but I found out that all they really care about your money and even having a brain anuerism and a stroke that they do not care about that and told me that I would have to start all over.  In 1980 you could get a  license without being a salesperson first.  They do not care what I have been through.  The same goes with the Social Security  w. Administration.  I had my own business when I had that business when I had that brain anuerism and a stroke I found out that they would only pay me if I had been on a payroll the last 6 months and I could run my business without a paycheck that gave them tax money.  So, they turned me down. And, eventhough I could not walk there was no excuse to collect from them.  So I do not get anything from the social Security Administration or The Texas Real Estate commission.  Eventhough I started working for other people since I was 14 that did not matter.  I am lucky that I was married to a woman willing to help me that has been saving money for about 25 years with her employment.

    Luckily, my wife is a computer programmer that gets pretty decent pay that pays for my recovery food, diapers, etc..  She also can afford to send our daugter to The University of Arkansas without any debt.  I was also lucky that my position was liniment enough to be with my daughter as she grew up. My wife's boss has been very cool and asked her to make it to the office for 1/2 day and works from home 1/2 of the day with a full time salary with full benefits.  That is probably all I will say about me at this time.  Let's get back to you.  There are some things you might consider doing after you have selected your niche and market area.

    One thing you might want to do is to form some type of corporation or a LLC. That will help to protect you personally too in case legal action is filed on your business. You might have to hire an attorney and/or a CPA to advise with you on the best company you should form. Another thing you might consider is to get your financing figured out and they need to be willing to give you a loan letter that states how long it should take to close your loan and the maximum amount of the loan you qualified for. The next thing you might want to do is to select your office location. It should be convenient and haave minimal distractions. You can locate that office in your home as long as you can close it off and have minimal distractions for you.

    Do not try to do everything by yourself.  Find/Get a Team with local professionals that are experienced in what you have selected and willing to help you.  The primary Team member group are typically Attornies, real estate Agents or Brokers, a CPA (or knowledgable accountant), Inspectors, General Contractors, and Handymen.  Do not cut any corners to make a property look good on paper.  When starting just do what that neighberhood is average and simple.  I have read more than once is that mistakes and fear are pretty normal.  Learn from any mistakes and turn any fear into something that is funny or something else that will help you.

    Always remember to do all of the cost numbers analysis and try to look at prospective properties or at least have a clause in the sales agreement that allows you some time (usually 10 to 15 days) to make a detailed inspection and possibly back out of the deal without a penalty that will hurt you too much.  I am sorry this is so long but I have alot to say.  Try to stay in control of everything that happens.  In your whole life do some educate you on the niche you select and how to read a financial statement.  This will help you dominate your field.  This is the problem when you turn 60 years old.

    I have been in the construction business since I was 17 doing residential and commercial jobs (including those college years) so I have a bunch of experience in construction and a little bit in real estate. My injury has taken me ona journey to find something that is flexible as far as hours go.  That is what led me here about 18 months ago. Since I cannot walk and am not ready to "be employed" this seemed fairly logical for me.  I have been learning every day (7 days a week) about 10 hours a day on various sites and reading books.  In real estate there is a lot to learn.  Beware that the internet let's many crooks to sale stuff you do not need and on emotional techniques.

    Good luck to you!

  • Real Estate Agent · Los Angeles, CA · Member since 2017 · 125 posts · 37 votes
    9y

    @Michael Lee Thank you Michael.  You have a very loving family from what it seems, and that is a true blessing.  I plan on continuing to educate myself and find a niche where I can succeed.  I do constantly hear about finding a niche.  Thank you for your advice again!  Good luck to you as well!

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