If you could. Who would you mentor?
Personally, I think the smartest person in the room, is the notes investor. Why? Deals need money, money needs security, and security needs yield. Within the activity of real estate for the purposes of ROI I would much rather own a cash flowing note than any other activity. Why? It's simple, secure, and can scale.
I found a notes dealer offering 10% return on $35k first mortgage trust deed note. I could get a return with them and forget about it, but from listening to hard money guys, I think I should learn the business instead. The problem is I don't have a college degree, or a background in finance. The transaction looks like simple math; 1 year term at 9%, four points (4%), first lean position, 65% LTV. I'll take a guess on a $300k loan would look like the following:
$300,000 x .65 = $195,000 + 4% = $202,800
Buyer has $97,200 down payment and the note investor uses a loan servicing company to handle payments, notice of default, while an real estate attorney would handle foreclosing on the property. Obviously this is a simplified transaction void of preliminary title report, title insurance, inspection, BPO, appraisal and escrow fees.
So what are the minimum qualifications to get schooled or even mentored in this business?
I could go out and get my MLO license, real estate license, or both, but by then I may not need a mentor...Maybe that's the answer I was looking for.
So far my concerns are: costs. I will be investing $1,000 just to earn my MLO license, and another $1,000+ for my real estate license to what equates to a sales person job.
Pitching and qualifying clients with all the new and ever changing lending laws, only getting paid when I close a transaction which can be months apart from paycheck to paycheck.
Right now I'm unemployed and I see myself homeless, destitute, and unhappy playing the W-2 game. I don't have any kids, I don't plan on any until I'm rich, going on 43 maybe I missed that boat, so...What the hell should I do? Go get a college degree so I can get past a corporate gate keeper and live hand to mouth? This isn't a pity party, just looking for financial advice, I'm sure technological unemployment will salivate at the mouth until all humans are unemployed however I don't think debt is something technology can unemploy. I'm reminded of something I heard once, it's all bout time and interest. I'm interested in debt instruments and how I can be a fat cat too ;)
Please advise.