Dayton OH Real estate investing noob

8 Replies

Hello all,

I'm Calvin Anderson and I'm excited to be a part of the BP community!As the title suggests, I have a big fat zero experience in regards to real estate investing of all kinds, and that is why I'm here. 

I became interested in just about everything finances this past year after attending a continuing education/networking event in Columbus, OH for recent pharmacist grads. And yes, if that answers one of your questions, I currently practice pharmacy in the city of Troy, OH and graduated back in 2017 (which seems a long long time ago now). Anyways, this past January I attended a professional networking event that really opened me to the world of personal finance and to the goal in becoming financially free. This has led me down the path of reading various books, such as Rich Dad Poor Dad and 4 Hour Work-Week, as well as listening to various podcasts, such as Your Financial Pharmacist and of course Bigger Pockets. I feel that I've only scratched the surface in terms of real estate investing, and I came to the realization that real estate investing is a solid way to accumulate wealth and grow my assets column. Coming from a personal note, real estate investing will be a great avenue towards paying down my sizable student dept and act as an additional side hustly outside my "9-5."

I don't envision myself as becoming the next big shot by any means, but I personally feel that I'm in a good financial position to get started down this path and am prepared to do whatever it takes. Specifically within real estate, I am especially interested and becoming a landlord and renting out a couple properties (multi families yes please). Another aspect of real estate investing that has caught my attention is the rise of Fundrise and other similar eREITs.

Anyways, I appreciate your time reading through all of this and I am excited to learn, grow and apply as much as I can to get started. I'll leave with one question that is currently one of my obstacles in taking the next step: How do I convince my wife, who is very risk averse, that going down the real estate investing path is a smart move with our money?

@Calvin Anderson Welcome to BP!! Have you been to local meetups as well? 

Fear is almost always because of the unknown, or in the case of your wife, she might not know about the power of real estate yet. Thus, fear. 


You know her best, but you can work towards educating her more about it. Whether those are just conversations, taking her to a local meetup, showing her posts of bigger pockets of people who were first risk-averse against real estate investing but overcame that. Or you can make a powerpoint slideshow complete with laser pointer :) Just depends on what you think would be best. 

You can control real estate investments a heck of a lot more than stocks. If she's truly risk-averse, then she would like to diversify investments as much as possible, which would include real estate, whatever the form. 

Hope this helps :) 

edit: This might also be good to read for you: https://www.biggerpockets.com/blog/pay-student-debt-start-investing

Hey Calvin! Nice to see you on BP! My wife was the same way at first but a few episodes of bigger pockets podcast and she was as hooked as I was. In fact, because she is naturally risk averse, she balanced my optimistic eagerness perfectly. I think having her as a partner is the main reason our first deal went as well as it did. Feel free to reach out anytime with questions!

Originally posted by @Nate Hedrick :

Hey Calvin! Nice to see you on BP! My wife was the same way at first but a few episodes of bigger pockets podcast and she was as hooked as I was. In fact, because she is naturally risk averse, she balanced my optimistic eagerness perfectly. I think having her as a partner is the main reason our first deal went as well as it did. Feel free to reach out anytime with questions!

Hey Nate! 

Glad to see you on here and glad I finally made it here as well! I feel I may be in the same boat you were. Next time we're on a good road trip together I'll definitely have to try having her listen to an episode or two. For me, it really is important that we be one the same page from the start before we go down the journey together.

Lets stay in touch!



 

Originally posted by @Eric Mielke :

@Calvin Anderson Welcome to BP!! Have you been to local meetups as well? 

Fear is almost always because of the unknown, or in the case of your wife, she might not know about the power of real estate yet. Thus, fear. 


You know her best, but you can work towards educating her more about it. Whether those are just conversations, taking her to a local meetup, showing her posts of bigger pockets of people who were first risk-averse against real estate investing but overcame that. Or you can make a powerpoint slideshow complete with laser pointer :) Just depends on what you think would be best. 

You can control real estate investments a heck of a lot more than stocks. If she's truly risk-averse, then she would like to diversify investments as much as possible, which would include real estate, whatever the form. 

Hope this helps :) 

edit: This might also be good to read for you: https://www.biggerpockets.com/blog/pay-student-debt-start-investing

Hey Eric,

Thanks for reaching out with some super friendly and helpful advice. It's going to be interesting the way I go about this, but I agree acquiring education will need to be the first step for her in getting past that initial fear.

Are there any specific episodes of the podcast you really recommend in this area? Also, I'll definitely have to check out that link you provided.

thanks!

 

@Calvin Anderson I would try to pitch your wife on buying and moving into a duplex. You could use the argument that you need a place to live and this will get you a great experience with the property management side of things. The side you rent out will significantly help cover your monthly payments. You can then scale up from there. You can also get a 30 year fixed rate mortgage for as little as 3.5% down.

That is how I got started when I graduated from college. I also plan on repeating the process until I get up to 10 residential loans.

@Calvin Anderson I would just start with the first few podcasts and go from there. All investing has risk, but it's a lot riskier not to invest in my opinion. 

You should not look at real estate as a way to quickly pay off your student loans. It can supplement the pay down. Just remember that the safe way to invest in real estate is getting rich slowly. Some people make massive amounts of money from real estate in a short time. They're typically the outliers. It can be done, but you should first have a goal to get rich slowly through real estate.

I like @Remington Lyman 's comment about house hacking. It's a very low risk way of getting into real estate. Then she may be able to see the power of real estate investing. 

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