New investor excited to interact with the BP community

New investor excited to interact with the BP community

Rental Property Investor · Batavia, IL · Member since 2018 · 452 posts · 672 votes

Hello everyone,

My name is Scott Passman and I am a new investor based out of Batavia/Geneva, IL.  I just started learning about real estate 4 months ago and I have been hooked ever since!  I have spent every free moment of time reading every real estate book I can get my hands on, listening to BP podcasts and reading through the forums.  Now that I feel I have decent knowledge base I am excited to start meeting other investors and developing relationships to help take me to the next level.

I am 31 years old, married with 2 small kids, and work as a Physical Therapist overseeing a clinic in the west suburbs of Chicago. I am interested in buy-and-hold real estate and would love to employ the BRRRR strategy down the line once I have enough contacts and capital to pull it off. I am really struggling to decide what market I want to start off in with the choices being between my own back yard (suburbs of west Chicago), Madison / Southeast Wisconsin area, or Indianapolis. The Chicago area is a pretty high point of entry plus the problem of people leaving the state faster than any other in the country due to governmental issues. This is acting as a bit of a barrier for me. Indianapolis is almost perfect as it has a lower entry point, growing economy with good deals, but is about 3 1/2 hours away. The Madison / Southeast Wisconsin area is great because it is 2 hours or less away and has a great opportunity for investing as well, although the markets have really heated up recently especially with the announcement of Foxconn building near Racine.

I feel like no matter how much I learn through books, podcasts, forums etc., I will never feel comfortable until I get to see and do things in real life.  My dream scenario would be to meet other investors that I can just talk to in order to bounce ideas and numbers off and have actual discourse.  Not only would I learn more but I would also gain confidence in myself to trust the numbers I come up with and know a good deal when I see one.  As with many people, it would be incredible to potentially form a relationship with someone that could eventually turn into some form of a partnership.  There is no better way to learn than to do something with others more knowledgeable than myself.  So excited to start engaging more with the community!

Scott

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  • Investor · St. Louis, MO · Member since 2017 · 109 posts · 77 votes
    7y

    Welcome to the BP community!  You will find that people are extremely helpful, because we all started with zero rentals.  I would look to enter either the Indy or Southern WI markets.  Lower barrier cost for entry.  You just have to get over the fast that you properties will probably not be within early driving distance. 

  • Rental Property Investor · Honolulu, HI · Member since 2018 · 335 posts · 251 votes
    7y

    Welcome to the community! People here are friendly and helpful. Looks like you got the right mindset to learn as much as possible. Good luck!

  • Mark AinleyBusiness Member
    Property Manager · Roselle, IL (Chicago Suburb) · Member since 2013 · 2k+ posts · 1k+ votes
    7y

    @Scott Passman great to hear your story! We are local in Bartlett and I live in Saint Charles so let me know if you ever want to chat. 

  • Rental Property Investor · Batavia, IL · Member since 2018 · 452 posts · 672 votes
    7y

    Thanks everyone!  @Mark Ainley I would love to chat sometime.  I actually work in Bartlett so either area is very close to me.  Any way you could PM me so we could discuss more?  

  • Real Estate Syndicator · Milwaukee, WI · Member since 2018 · 1k+ posts · 907 votes
    7y

    I am located in Kenosha and invest in the SE Wisconsin market. 

    Please feel free to message me and maybe we can set up a call.  I'm always looking for ways to partner with others and make deals happen.

  • Retirement Accounts Attorney · Southfield, MI · Member since 2017 · 3k+ posts · 1k+ votes
    7y

    @Scott Passman

    Welcome to Bigger Pockets.

  • La Grange Park, IL · Member since 2018 · 18 posts · 7 votes
    7y

    @Scott Passman Great introduction; everyone has to start somewhere!  I only have 4 doors under my belt, but am located and invested in the western Chicago suburbs.  Would be happy to connect and provide any insights that I can.  I am similarly in the same location dilemma for my next investment -- to stay in Chicagoland, or look to Wisconsin or Indiana for better opportunities.  Although there is a constant negative population trend out of Illinois, I have experienced steady appreciation and rent stability in my Chicago suburban market.  

    Congratulations on starting your journey.  We are all in this together, and always willing to help!

  • Investor · Indianapolis, IN · Member since 2016 · 232 posts · 133 votes
    7y

    @Scott Passman Congrats on getting started! You're definitely on the right track there. No matter which market you decide, I highly recommend driving down there and meeting local investors and attending REIAs. BP forums are a good place to connect with other investors in the market you're interested in. Feel free to connect if you're interested about my neck of the woods. Cheers!

  • Fishers, IN · Member since 2018 · 36 posts · 22 votes
    7y

    Welcome @Scott Passman! I just moved to Indy ~6 months ago, from Madison WI. I don't know a lot about RE investing in Madison, WI, but if you have questions about areas/neighborhoods or demographics let me know, I lived there for 7 years. On the of the reasons my husband and I moved to Indy was housing prices in Madison are very competitive, so I can tell you that much. I am just learning the Indy market now and there's tons of opportunities it seems like. 

  • Jim BroznyPro Member
    Investor · Batavia, IL · Member since 2015 · 58 posts · 24 votes
    7y

    @Scott Passman.  Hi Scott.  Welcome to BP.  I live in Batavia and have been investing in the Fox River Valley for about 15 years.  I'm glad to connect.     

  • Real Estate Coach · Appleton, WI · Member since 2018 · 66 posts · 61 votes
    7y

    Welcome to BP!  I was much like you in the beginning....felt like I needed to have a hands on experience in order to "really" learn it and know what I was doing.  Turned out I just needed to pull the trigger and get out there.  I feel the best way is to come alongside someone else who has already gone where you want to go, if you have the chance!  Take careful consideration of "who" and "how" as you move forward.  Consider a joint venture property by property instead of an all out partnership...or a partnership with a VERY clear operating agreement that spells out how to operate as well as how to dissolve.  Who is responsible for what AS WELL AS how do we value the properties if one partner wants out....or how to get out if you both want to sell...or one wants to sell to an outside person to step in...etc, etc.  When partnerships end, the best ones know exactly how it will go down...the rest fight and pay attorneys in the battle.  It's no different than a divorce without a prenuptual agreement.  Decide at the beginning what the end will look like, and you could take this thing to extraordinary limits!  Congrats on the decision to make real estate a part of your young family's financial plan.  Sounds like you've done the education, good luck on getting your feet wet!  My best to you!

  • Rental Property Investor · Chicago, IL · Member since 2017 · 17 posts · 5 votes
    7y

    @Scott Passman Welcome to BP! 

  • Mike D'ArrigoPro Member
    Turn key provider · San Jose, CA · Member since 2010 · 4k+ posts · 3k+ votes
    7y

    @Scott Passman that shouldn't be a hard choice. In my opinion. High prices, government over regulation, high taxes and a negative net migration in population FAR out weigh the fact that Indianapolis is 3 1/2 hours away. I'm sure you wouldn't buy stock in a company that had declining sales, is losing money and employees are leaving in droves but is in your backyard. People need to think of real estate just as they would any other asset class and invest in markets that they have the highest likely hood to succeed. 

  • Investor · South Bend, IN · Member since 2018 · 111 posts · 57 votes
    7y

    @Scott Passman Welcome to the community! I got hooked on real estate around the same time as you and have been learning everything possible ever since. I plan to house-hack a multi-family in Chicago, but have lived in the west suburbs my whole life. Feel free to reach out if you ever want to bounce ideas or numbers off of me, as it sounds like we are in the same stage of learning this. I look forward to hearing what area you decide to invest in as well!

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