New Investor eager to get started in real estate

New Investor eager to get started in real estate

Hopatcong, NJ · Member since 2017 · 2 posts · 0 votes

Hello fellow BiggerPockets members I hope all is well! Over the last month I have had a love for real estate surge through me and motivate me to learn as much as I can about real estate investing. I have read over a dozen books and listened to hours and hours of podcasts referring to real estate/investing. I am a 20 year old Rowan University student who wishes to gain a head start in my financial livelihood through investing in real estate early on. I am now going to state my Plan for Success (which for me is financial independence):

1) Identify and fully understand my short-term and long-term goals for real estate investing.

2) TAKE ACTION ASAP!

3) Find a local mentor who I can serve with my free time and motivation, so that I can receive knowledge and experience

4) Obtain resources for financing my 1st investment, which I plan on being a Flip (right now I have $4,000 saved up to invest with)

5) Search for deals & analyze the targeted market 

6) Flip 1st property

7) Improve and repeat Flipping process

8) Save up enough for a solid cash reserve to begin my next venture in investing

9) Begin the process to buy, improve, and rent out some form of residential homes

10) After my first two successful rentals, hire a property manager 

11) Advance to renting out residential complexes

12) Hire a property managing company after first successful rental complex

13) Reap the rewards of the established Passive income

I am planning on accomplishing this by the year 2037. The only obstacle I can see hindering my plan could be that I am a current student at Rowan University, which is two hours away from my home market. If it does become a major issue, I was planning on changing my market to my college town market. If ANYONE has any advice, or sees any flaws in my plan, please don't hesitate to help out and guide me in a better direction. Thank you for your time!       

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  • Miami, FL · Member since 2011 · 296 posts · 72 votes
    9y

    Hello @Michael J Cavagrotti, welcome!

    Congrats in joining the club of REI addicts. I am a newbie as well so I'll give you advice the best I can.

    $4K is not a lot to start with if you are planning for a flip. Unless you have another source of cash (partner, private investor) it will be real hard to buy a property and flip it with 4K. If you need to build up capital maybe wholeselling is an option (I don't do it myself but it is an option)

    To find a mentor you can visit your local REIA, that's a great source of quality people and if you luck out, you'll find your mentor there. BP is a great resource for help as you go as well.

    Good Luck!

  • Hopatcong, NJ · Member since 2017 · 2 posts · 0 votes
    9y

    Thanks Allende, I really appreciate the advice. Within the next week, I plan on calling up my bank (Bank of America) and seeing if I would be able to take out a loan, if not then move onto other forms such as private lenders or even hard money lenders, but I would personally like to avoid that if at all possible. And I will definitely look into visiting my local REIA because that sounds like a great idea. Thanks again!

  • Real Estate Professional · Media, PA · Member since 2017 · 23 posts · 13 votes
    9y

    @Michael J Cavagrotti welcome to BP!  I love Rowan University, and live not that far from it.  I'm new here too.  It's great to see people from this area on BP.  Good luck with your journey.

  • Equity Raiser and Turnkey Provider · Cleveland, OH · Member since 2016 · 4k+ posts · 1k+ votes
    9y
    Originally posted by @Michael J Cavagrotti:

    Hello fellow BiggerPockets members I hope all is well! Over the last month I have had a love for real estate surge through me and motivate me to learn as much as I can about real estate investing. I have read over a dozen books and listened to hours and hours of podcasts referring to real estate/investing. I am a 20 year old Rowan University student who wishes to gain a head start in my financial livelihood through investing in real estate early on. I am now going to state my Plan for Success (which for me is financial independence):

    1) Identify and fully understand my short-term and long-term goals for real estate investing.

    2) TAKE ACTION ASAP!

    3) Find a local mentor who I can serve with my free time and motivation, so that I can receive knowledge and experience

    4) Obtain resources for financing my 1st investment, which I plan on being a Flip (right now I have $4,000 saved up to invest with)

    5) Search for deals & analyze the targeted market 

    6) Flip 1st property

    7) Improve and repeat Flipping process

    8) Save up enough for a solid cash reserve to begin my next venture in investing

    9) Begin the process to buy, improve, and rent out some form of residential homes

    10) After my first two successful rentals, hire a property manager 

    11) Advance to renting out residential complexes

    12) Hire a property managing company after first successful rental complex

    13) Reap the rewards of the established Passive income

    I am planning on accomplishing this by the year 2037. The only obstacle I can see hindering my plan could be that I am a current student at Rowan University, which is two hours away from my home market. If it does become a major issue, I was planning on changing my market to my college town market. If ANYONE has any advice, or sees any flaws in my plan, please don't hesitate to help out and guide me in a better direction. Thank you for your time!       

     Hello and welcome! Best of luck to you.

  • Rental Property Investor · Ålesund, Norway · Member since 2017 · 48 posts · 24 votes
    9y

    Hi Michael!

    I wish I had started thinking about REI at your age! So good on you! Why do you want to focus on flips to start out? (No issues, just curious!)

    All the best!

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