New York City, NY · Member since 2017 · 4 posts · 1 vote
What are my first steps? I am looking at making an investment in a multi-family property by this time in 2019. I know I need to prepare and educate myself which is why I joined this site,
What are my first steps? I am looking at making an investment in a multi-family property by this time in 2019. I know I need to prepare and educate myself which is why I joined this site,
Rental Property Investor · Allentown PA, United States · Member since 2016 · 567 posts · 442 votes
9y
Hey Mark, welcome to BP. I myself started on the webinars at biggerpockets.com/webinars which are held weekly. They're a great place to start and Brandon lays a lot of stuff out really well. If that definitely catches your interest, I would start to do your own education through books, podcasts, etc. BP's Ultimate Beginners Guide is a great start, and a lot of those topics are elaborated on in more detail on the BP podcasts which I listen on my commute to and from work(although I'm out of new ones now). Classic real estate investor books include Rich Dad Poor Dad(a must read), Millionaire Real Estate Investor, and Richest Man in Babylon which definitely helped get the personal finance piece into perspective before investing. For a newbie looking to do small multi-family, I would research the concept of house hacking which is recommended more than anything, along with the 203k rehab loan if you are looking to get some rehab experience and the immense benefits of adding value. Best of luck!
What are my first steps? I am looking at making an investment in a multi-family property by this time in 2019. I know I need to prepare and educate myself which is why I joined this site,
Rental Property Investor · Brooklyn, NY · Member since 2014 · 722 posts · 1k+ votes
9y
@Mark Franklin I'd also suggest that you get yourself a simple underwriting tool and start practicing. Just get on the web and find broker packages of the kinds of properties you want to buy and start reading them and picking them apart. Get your hands on financials, underwrite them, and compare your underwriting to what the brokers are projecting and see how the two compare. (Hint: the brokers are usually overly optimistic.)
Reading is fine, and getting educated is the right place to start. But if you don't get out of reading and into analyzing actual deals, learning how to underwrite them financially, you won't build the confidence necessary to start bidding on deals. Many people are stuck in analysis paralysis because they don't have confidence in their underwriting and are afraid to overpay for a deal and lose money. The only way to overcome it is to start underwriting deals, putting some bids in, and gaining experience and the confidence that comes with it.