Rookie Real Estate Investor Starting Off

4 Replies

Hello BiggerPockets community!

I am an aspiring real estate investor seeking to get myself submerged into rental properties (starting off with single-family homes/duplexes growing into apartment complexes and then eventually into commercial real estate if this is how the process works). Currently, I work at a high-end golf course as an Assistant Golf Professional and have saved a good amount of money by living frugally with a goal of eventually living off of "passive" income sooner rather than later. I live in the Peninsula area of the Bay Area in California, so I've heard it can be difficult to invest in this area, but it can be done. I don't mind venturing into out-of-state properties if necessary; it's just I need to build trust with where I place my funds with an outsourced entity. I have about $100,000 saved up to begin my real estate journey, a high 700s credit score, and have been emerging myself to the sounds of real estate through the BiggerPockets podcasts and Youtube videos. I am 25 years old now and really have a high desire to learn real estate.

I am seeking guidance from the community on where I should begin my journey into real estate and what I need to do now to set myself up for success. Taking a leap of faith here and really plan to take massive action!

Hi @Arron Paulino ,

I heard this is advice from Henry Lai.

Henry Lai is the president of TNE Capital Group. He started as a house hacker and is now a general partner in 1,749 multifamily units in Texas and Florida

  1. You Can Really Learn a Lot From Passive Investing

As a passive investor you can ask a lot of questions of the sponsor. You can ask for the deed, the market research, the underwriting, the appraisals, inspections, property financials etc.

You can ask for one on one education, explain that you really want to understand how the deal works and they will spend time with you and explain.

By noting the way they communicate with you, the things you like and don't like, you also learn how you should communicate with an investor in the future when it is your deal.

Get to know a lot of sponsors through conferences etc.

Ask sponsors about a deal that you are considering, obviously not one of their own deals.

Ask them what the strengths and weaknesses of the deal are.

Get an FAQ list and ask the sponsors of a deal you are thinking of being a passive investor in, ask all the questions until you feel comfortable.

Agreed with @Mike Pedroza, get out there and network! @Amy Heitner shared a great post from Henry. If I were in your shoes I'd look at house hacking in your area, since rents are so high. Can you get a couple bedroom house and rent out all but one?

Originally posted by @Arron Paulino :

Hello BiggerPockets community!

I am an aspiring real estate investor seeking to get myself submerged into rental properties (starting off with single-family homes/duplexes growing into apartment complexes and then eventually into commercial real estate if this is how the process works). Currently, I work at a high-end golf course as an Assistant Golf Professional and have saved a good amount of money by living frugally with a goal of eventually living off of "passive" income sooner rather than later. I live in the Peninsula area of the Bay Area in California, so I've heard it can be difficult to invest in this area, but it can be done. I don't mind venturing into out-of-state properties if necessary; it's just I need to build trust with where I place my funds with an outsourced entity. I have about $100,000 saved up to begin my real estate journey, a high 700s credit score, and have been emerging myself to the sounds of real estate through the BiggerPockets podcasts and Youtube videos. I am 25 years old now and really have a high desire to learn real estate.

I am seeking guidance from the community on where I should begin my journey into real estate and what I need to do now to set myself up for success. Taking a leap of faith here and really plan to take massive action!

 Welcome aboard Arron.

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