He everyone, my name is Nicholas Hanson. I'm 25 year old, was born and raised, work and play, around the Madison area and love it here.
I came across the Bigger Pockets podcast about two weeks ago, and started from number 1. I'm currently on show number 20 and find the interviews to be a great way to get familiar with the terms and scenarios of the real estate life.
I'm a mechanic by trade, and completely new to real estate. I'm looking to find ways of income that do not involve me having to have my hands on it to make money.
I do not know my own market. I do not own any property, but am currently saving for a down payment on what will be my first primary residence.
I look forward to connecting with many of you, and very excited to be a part of Bigger Pockets!
Welcome to BP Nicholas! If I could give any advice to myself at 25 it would be to start "house hacking". I highly recommend checking out @Scott Trench 's new book Set For Life.
Good luck on your new journey!
Thanks @Eric M. !
I'll definitely add this book to my growing list. "House hacking" is possibly the coolest real estate term I've heard of so far. You can bet I'll be checking it out.
I wish I had adopted your perspective when I was 25. I'm trying to instill those concepts into my own children now, who are all in the 20's.
I don't know Madison beyond UWM, where my youngest son is in his third year. He lives in a typical student house that he and 6 roommates share. I charitably refer to it as a fully depreciated asset, which likely applies to much of the student housing stock in Madison. That said, his landlord gets roughly $2700 per month for it, so take that for what it's worth.
My son's primary observation about Madison is that Epic Systems (in Verona) has a large professional workforce, all of whom see to want to live near downtown Madison. He feels that between Epic and UWM, rents in Madison are somewhat inflated. They also show no signs of retreating any time soon.
Good luck on your quest.
Hey @John Franczyk ,
I believe you're right about Epic playing a big part in housing costs. I'm currently priced out of anything near the west side of Madison. As current prices lay, I'll be happy to find a great starter property within 30 minutes of the capitol in any direction! I've looked as far as Janesville and Beaver Dam, increasing commute for a more reasonable price.
I have a bit of time, as my down payment is not yet fully matured. I'll be keeping an eye on local prices, trying to find a good time to step in!
@Nicholas Hanson Welcome to BP. Your in the right place to learn. Believe it or not I'm a former mechanic too (turned mechanical designer/real estate broker) and started with my first duplex at 23. I was born and raised on the west side of Madison and now live in Verona. I also recommend the house hacking methods to get started. I lived in half of my first duplex and rented the other half for 3 years (tenants paid more than half my mortgage). Then I bought a single family house and rented a couple rooms to friends (which paid 3/4 of my mortgage). These methods are a great way to get started.
Like you said affordability in Madison is a challenge right now. So many people have jumped into the investment game with the hot market that I feel like they are paying ridiculous prices for investment properties. My last two deals I've found off market (private seller, and foreclosure auction), so keep your eyes open for things not on the MLS too. Best of luck on getting started!
@Dave C. Very cool to find a meetup around these parts! I get done with work at 7, but hope to see you there shortly after.
@Nicholas Hanson , Welcome to BP. It's an awesome community here. I love the podcasts too. I'd also recommend checking out the weekly webinars. They are a bit more hands on but chalked full of a lot of good info.
Like @Dave C., we do have a bi weekly meet up in Madison and we'd love to have you. It's super chill and we just pretty much meet up and talk anything and everything real estate!
@Nicholas Hanson , Welcome to BP! - The Podcasts are a great way to start learning more about real estate at your stage. I especially liked Podcast#197 from the Madison area ;)
@Nicholas Hanson welcome to BP. I think madison is a great market although it may be a little hot right now.
I spent my entire childhood in the madison area and come back often to see family. I don’t invest in the market but I do own a couple rentals out of state if you want that perspective and the pros and cons.
Like you I’m young (23), so it’s always cool to see others my age getting involved.
Pm me if you want to talk more.
Welcome to BP! The podcast is a great way to learn a lot of the basics.
House hacking is a great strategy in almost any market. Once you've started that, you might want to avoid the Madison market until prices drop a bit. I'd recommend spending some time talking to local investors (particularly anyone who was investing before 2008) and trying to get as realistic a view as possible of the state of that market. If you agree that the market is inflated, I'd recommend focusing on improving your financial position until Madison re-adjusts. That might mean focusing on saving, or maybe investing in other areas. I'm just now moving into the Central Wisconsin market, and I really like what I'm seeing there. Once Madison readjusts, you'll be in a position to take advantage of it.
@Nicholas Hanson welcome to BP!
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