Updated about 9 years ago on . Most recent reply
Hungry new investors ready to get started
Thank you to anyone who takes the time to read and reply to this post.
My name is Austin and I am 27 yr. old territory manager for a medical device company living in Memphis, TN. I’ve read numerous real-estate investing books and habitually read and listen to Bigger Pockets daily. I recently teamed up with my friend Blake, who is a CPA working in the Memphis area, and we are ready to start investing! Currently we are both in the same condition financially, meaning we have little to no capitol. We recently attended Than Merrills’, Fortune Builder’s seminar on RE investing and although we did gain some additional knowledge it seemed to be a 3 day sell to attend the $20k mastery program. After all the research we are still unsure as to which direction would best suite are current situation to get started.
Our goal is to rehab and flip B/C class homes here in the Memphis area. As I said before we have very little capitol, so as we see it we have 2 options:
Option 1: Wholesale homes to gain capitol and then begin to flip.
Option 2: Find private financing and get started on our first flip.
We are very excited and ready to jump in! We are just looking for a little direction!
What advice do you all have for someone in this situation?
Thank you again for any feedback!
Most Popular Reply
Got that right!
What area(s) of Memphis are you looking to flip in?
What does a typical purchase price, rehab, ARV and net profit look like?
How many flips are you looking to do on an annual basis?
If you are looking for a money partner (either debt or equity) then you'll need to be able to answer these questions along with many others. If that's not your intent, then best to start saving up for a deal and learning the market inside and out. One thing I did frequently when getting started was tap into my 401k. Most 401k administrators will allow you to borrow up to 50% of the account value or (not to exceed $50K). That was the route I took along with hard money loans in order to to flip houses early on.