New Investor, No Money, How/Where Do I Start?

10 Replies

Hey guys! My name is Ian Hill and I recently moved to the Dallas/ Fort Worth area about 5 months ago. I stumbled upon real estate investing from a YouTube video and got "The Bug". I've started studying different strategies, started reading some books, joined my local REIA , and met a few people in the process. My issue is that I don't know if I need to start with a strategy like wholesaling to build capital that will eventually allow me to invest in rental/multi family or if there a different way to go about this? I'm highly committed, but I feel as if I lack direction. Any and all input is accepted and appreciated!

PS: If there is ANYONE in the area that would like to meet up and bounce ideas or talk business and strategies coffee will be provided! lol

Hi @Ian D Hill . I'm glad to hear that you are highly commited. Here is my advise: COMMIT TO AN EXIT STRATEGY! Are you wholesaling, rentals, flipping whatever pick ONE. Go back to your REIA you now have direction and find someone/ a couple of people that is doing that strategy and add value to them (I don't care how heck offer to clean their job site for free). Help them be their friend, this will help them be open to you shadowing them in a deal to learn the ins and outs.

Once you learn how to that strategy works you can determine if that strategy works well for you, if not then repeat.

If that strategy does work for you continue what you are doing because as you continue to add value to these movers and shakers they will be open to share and help you because you help them.  

I hope this helps.  If it does give me a vote so I know

@Ian D Hill , Welcome to BP! I am glad to hear you are interested and hungry to invest in real estate. I think wholesaling is a great way to start with no money. You can certainly build some capital without spending much money, however it is competitive in the DFW market. A lot of property owners you contact will have already talked to 10 other wholesalers. I am not saying don't do it, just be aware you will have to hustle. Also, there are a TON of guru wholesalers offering a program that cost money (just scroll through Facebook). Be very wary of these. You don't want to spend the little money you have or worse (go into debt) to pay for a guru class that doesn't work. 

Do you already own a home? You can find plenty of articles on here and podcasts on the subject, but I am a huge fan of starting out with a live-in-flip or house hack. It is much easier to get a loan for a property you are going to live in, especially with low money down. You will learn how to budget rehab costs, what things you enjoy doing and what you will pay someone else to do, how to find renters, the buying and selling process, etc. It is a slower process, but a great place to start with very small downside. Good luck and feel free to reach out with any other questions! 

@Ian D Hill Welcome to BP brother. The first thing is you really do need to get your bread up my friend. Start being frugal and working your A$$ off now. Keep going to real estate meet ups and reading. Network with everyone you can and do your best to find a mentor. Work for them for free if you have to or split the profit. Make sure to humble yourself and not feel entitled, nothing will turn off a possible mentor more than that. In my opinion that is the best way and fastest way to get going and learn. However it is very difficult and there are so many aspects to that. That is the best case scenario in my opinion and what I would shoot for. That is what I did and I don't regret all the meet ups I went to. I had to get uncomfortable and set my pride and ego to the side. Ask lots of questions and be honest. There are so many people out there who have been doing this and truly get fulfillment from helping lift others up, you just have to be persistent and consistent and find someone like that! In the mean time while doing that though you should still be learning and earning! I wish you the best of luck brother and whatever you do DO NOT GIVE UP

Hello! @Ian D Hill

Welcome to BP, and congratulations on making the decision to invest in your future via real estate.

I have written a few blog posts that may help you get started here on BP, and with your investing. Please click on the links, give them a read, and share your thoughts in the comments.

First is a post that I feel will help not get overwhelmed with the amount of info that is here on BP:

https://www.biggerpockets.com/blogs/5868/52761-the-simple-guide-to-getting-started-on-bp



The second is a post that will help get you focused with your real estate investing goals:

https://www.biggerpockets.com/blogs/5868/52743-im-new-to-bp-any-advice-would-be-appriciated

The last one is a post that will help you choose an “investor friendly” real estate agent. There are many agents out there, but it’s important to choose the right one.

https://www.biggerpockets.com/blogs/5868/52724-im-new-to-investing-how-do-i-find-an-investor-friendly-agent

I love answering questions if you have any! Good Luck :)

Thanks guys! All of this info is more than helpful! I've been listening to the podcasts like crazy and love the golden nuggets that I get from then on a daily basis! I have been thinking of going the wholesaling route mainly because of the cash I can get from the deals to build capital. I've also been working on building the mindset that if I do that I have to do it correctly! Mainly to make sure that I can sleep at night knowing that im providing value to people and to build a network of investors that are willing to work with me on future projects as well. I'm thinking that a want to mainly focus on multifamily after I get rolling because of the residual income but obviously I have a lot to learn before I get to that stage. 

Other than remembering your "Why?" what did you guys use in the beginning stages to keep yourself motivated? I feel like sometimes I see so much potential in REI and what it could do for me that I almost overwhelm myself with the thoughts. I get to a point to where I start scare myself and start to talk myself out of doing anything ! Not like Analysis Paralysis (although I experience that as well sometimes), but more of a fear of the unknown I guess. Whether good or bad. How do you push through that??? And what are some things you guys do to build a strong mindset for success for something like this?

@Ian D Hill you need results to stay motivated. Plain and simple. If you do not own your own home right now. That should be your first purchase, as it is an important part of building wealth for a majority of the populations. Partner with an agent that fits with your personality, and who is knowledgeable.

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