First time investor
Member since 2023 · 9 posts · 2 votes
Hey! I'm new, I just signed up with bigger pockets but I am absolutely stocked to be here!
I was curious to know if anyone could help me out, I'm only 20 years old, I don't have a credit score or any credit cards, but neither do I have any debt or bills seeing that I am living at home for the time being.
Do any of you more advanced investors have some advice, pointers or guidance you could lend?
I have considered partnering or Co signing with my parents on a house hack up at college yet still unsure with the direction.
Any comments or advice would be awesome!
Thanks and have a great day!
Hey! I'm new, I just signed up with bigger pockets but I am absolutely stocked to be here!
I was curious to know if anyone could help me out, I'm only 20 years old, I don't have a credit score or any credit cards, but neither do I have any debt or bills seeing that I am living at home for the time being.
Do any of you more advanced investors have some advice, pointers or guidance you could lend?
I have considered partnering or Co signing with my parents on a house hack up at college yet still unsure with the direction.
Any comments or advice would be awesome!
Thanks and have a great day!
Welcome to BP! Your light years above your peers just by signing up and seeking advice. Luckily Boise has some amazing first time homebuyer programs so seek out a good lender. But first, as other have said, get a credit card and start building up that credit. By a couple small things on it each month and pay it off every month. If you are getting help from your parents for college look into putting student loans in your name and then having them pay them off after you finish your course. This will show once again good credit usage on larger loans only increasing your credit score.
Talk to your parents about house hacking at college. When I went to school a decade ago I talked my parents and grandparents into a partnership to buy a duplex near the school. I put down all my savings and they matched it for the down payment and co-signed the loan. I then managed the place and got roommates to fill all the rooms. It provided a nice cash flow for them and covered my room and board expenses. This investment worked out great for them to this day and the property has almost tripled in value.
Best of luck and let us know if you have any questions.
Congrats on getting started! You are in the right place.
I would start by staying at my parents and saving as much money as possible, while learning my market as well as learning how to find, negotiate, and structure deals. If you need help, a local realtor will probably be happy to help you get started and give you some advice that is specific to your market.
If your parents are willing to cosign with you that will help a lot! Once the down payment is saved up, I would look for something to house hack, whether it be a duplex, quadplex, or SFH that you can rent out the other rooms on.
Best of luck to you!
Get a credit card under your name as soon as possible. Every dollar you spend with cash or a debit card is a missed opportunity!
House hacking would be a great way to start!
Make sure you take advantage of first-time buyer programs like NACA (see below) and down payment assistance programs in your state.
Neighborhood Assistance Corporation of America (NACA). NACA was formed in 1988 and provides an affordable option for potential first-time buyers:
✅ No down payment
✅ No closing costs or fees
✅ No mortgage insurance
✅ No consideration of credit score
✅ Below market fixed interest rate
There are several requirements to be eligible, starting with attending one of their workshops.
I wish you all the best.
Welcome to the community! If you are a responsible spender, the first thing I would do is open a credit card and get that line as high as possible. Then put all of your normal purchases on there without exceeding roughly 30% of your line limit. Set up autopayments from your checking account to your credit card for the statement balance amount so you never pay interest. That will help you to start building credit. You will also earn credit card rewards in the meanwhile. Nerdwallet has great info on the top reward credit cards.
Continue living with your parents until you have roughly 7-10% of the purchase price of a duplex you can afford in your area. That will fund your 3.5% FHA down payment, 1.5-2% in closing costs (unless you can negotiate those from seller) and some reserves for repairs. Then purchase a duplex. Live in one side and rent out additional rooms. Then rent out the other side either by room or as a unit. This should keep your living expenses very minimal so you can continue to keep saving. When you reach 80% loan to value (LTV), refinance into a conventional loan to remove PMI and make you FHA eligible again. Then repeat the process but next time with a fourplex. Then you can continue to stack fourplexes to take advantage of low down payment program or you can start scaling up to small apartment buildings and so on. If I could go back in time before I had kids, I would absolutely do this. You are so fortunate to be starting at a young age!
If you need a great agent in the Boise area let me know! I know a great one out there.
Hey! I'm new, I just signed up with bigger pockets but I am absolutely stocked to be here!
I was curious to know if anyone could help me out, I'm only 20 years old, I don't have a credit score or any credit cards, but neither do I have any debt or bills seeing that I am living at home for the time being.
Do any of you more advanced investors have some advice, pointers or guidance you could lend?
I have considered partnering or Co signing with my parents on a house hack up at college yet still unsure with the direction.
Any comments or advice would be awesome!
Thanks and have a great day!
Welcome to BP! Your light years above your peers just by signing up and seeking advice. Luckily Boise has some amazing first time homebuyer programs so seek out a good lender. But first, as other have said, get a credit card and start building up that credit. By a couple small things on it each month and pay it off every month. If you are getting help from your parents for college look into putting student loans in your name and then having them pay them off after you finish your course. This will show once again good credit usage on larger loans only increasing your credit score.
Talk to your parents about house hacking at college. When I went to school a decade ago I talked my parents and grandparents into a partnership to buy a duplex near the school. I put down all my savings and they matched it for the down payment and co-signed the loan. I then managed the place and got roommates to fill all the rooms. It provided a nice cash flow for them and covered my room and board expenses. This investment worked out great for them to this day and the property has almost tripled in value.
Best of luck and let us know if you have any questions.
@Gibson Beus,
I agree with almost everyone except for getting in the habit of using a credit card to build credit. To many young people get in trouble taking on debt they can’t afford and don’t understand the consequences (example: student loans, cars and credit cards). Their are many banks that will lend without a credit score as long as you can meet the income requirements. Banks like Churchill Mortgage will do the actual underwriting and don’t care about credit scores. Good luck with your next house hack and let me know if you need assistance in financial coaching or finding a property.
@Gibson Beus
First off, congrats on wanting to take the leap.
Here are just three ideas to get you on the right path:
#1- Consider getting multiple jobs and working your face off so that you can save up as much money as you possibly can. Since you are living with your parents communicate your ideas and goals with them often as this will facilitate a healthy relationship and allow for them to want to keep you under their roof :)
#2- Become a learning machine. Go to YouTube university and study all things finance, relationship building, as well as how to communicate with people.
#3- Do work on yourself and become a person of value. Don’t just want to be “in real estate”, but really think about your role and how you can make a small bit effective difference.
@Gibson Beus
First off, congrats on wanting to take the leap.
Here are just three ideas to get you on the right path:
#1- Consider getting multiple jobs and working your face off so that you can save up as much money as you possibly can. Since you are living with your parents communicate your ideas and goals with them often as this will facilitate a healthy relationship and allow for them to want to keep you under their roof :)
#2- Become a learning machine. Go to YouTube university and study all things finance, relationship building, as well as how to communicate with people.
#3- Do work on yourself and become a person of value. Don’t just want to be “in real estate”, but really think about your role and how you can make a small bit effective difference.
Honestly that is such amazing advice! That's mostly what I'm trying to do right now, obviously it'll take time and I'm working on it. Do you recommend and tools, resources or channels/podcasts that you found really helpful?
Hey! I'm new, I just signed up with bigger pockets but I am absolutely stocked to be here!
I was curious to know if anyone could help me out, I'm only 20 years old, I don't have a credit score or any credit cards, but neither do I have any debt or bills seeing that I am living at home for the time being.
Do any of you more advanced investors have some advice, pointers or guidance you could lend?
I have considered partnering or Co signing with my parents on a house hack up at college yet still unsure with the direction.
Any comments or advice would be awesome!
Thanks and have a great day!
Welcome to BP! Your light years above your peers just by signing up and seeking advice. Luckily Boise has some amazing first time homebuyer programs so seek out a good lender. But first, as other have said, get a credit card and start building up that credit. By a couple small things on it each month and pay it off every month. If you are getting help from your parents for college look into putting student loans in your name and then having them pay them off after you finish your course. This will show once again good credit usage on larger loans only increasing your credit score.
Talk to your parents about house hacking at college. When I went to school a decade ago I talked my parents and grandparents into a partnership to buy a duplex near the school. I put down all my savings and they matched it for the down payment and co-signed the loan. I then managed the place and got roommates to fill all the rooms. It provided a nice cash flow for them and covered my room and board expenses. This investment worked out great for them to this day and the property has almost tripled in value.
Best of luck and let us know if you have any questions.
Welcome to the community! If you are a responsible spender, the first thing I would do is open a credit card and get that line as high as possible. Then put all of your normal purchases on there without exceeding roughly 30% of your line limit. Set up autopayments from your checking account to your credit card for the statement balance amount so you never pay interest. That will help you to start building credit. You will also earn credit card rewards in the meanwhile. Nerdwallet has great info on the top reward credit cards.
Continue living with your parents until you have roughly 7-10% of the purchase price of a duplex you can afford in your area. That will fund your 3.5% FHA down payment, 1.5-2% in closing costs (unless you can negotiate those from seller) and some reserves for repairs. Then purchase a duplex. Live in one side and rent out additional rooms. Then rent out the other side either by room or as a unit. This should keep your living expenses very minimal so you can continue to keep saving. When you reach 80% loan to value (LTV), refinance into a conventional loan to remove PMI and make you FHA eligible again. Then repeat the process but next time with a fourplex. Then you can continue to stack fourplexes to take advantage of low down payment program or you can start scaling up to small apartment buildings and so on. If I could go back in time before I had kids, I would absolutely do this. You are so fortunate to be starting at a young age!
If you need a great agent in the Boise area let me know! I know a great one out there.
Congrats on getting started! You are in the right place.
I would start by staying at my parents and saving as much money as possible, while learning my market as well as learning how to find, negotiate, and structure deals. If you need help, a local realtor will probably be happy to help you get started and give you some advice that is specific to your market.
If your parents are willing to cosign with you that will help a lot! Once the down payment is saved up, I would look for something to house hack, whether it be a duplex, quadplex, or SFH that you can rent out the other rooms on.
Best of luck to you!
Hey! I'm new, I just signed up with bigger pockets but I am absolutely stocked to be here!
I was curious to know if anyone could help me out, I'm only 20 years old, I don't have a credit score or any credit cards, but neither do I have any debt or bills seeing that I am living at home for the time being.
Do any of you more advanced investors have some advice, pointers or guidance you could lend?
I have considered partnering or Co signing with my parents on a house hack up at college yet still unsure with the direction.
Any comments or advice would be awesome!
Thanks and have a great day!
Welcome to BP! Your light years above your peers just by signing up and seeking advice. Luckily Boise has some amazing first time homebuyer programs so seek out a good lender. But first, as other have said, get a credit card and start building up that credit. By a couple small things on it each month and pay it off every month. If you are getting help from your parents for college look into putting student loans in your name and then having them pay them off after you finish your course. This will show once again good credit usage on larger loans only increasing your credit score.
Talk to your parents about house hacking at college. When I went to school a decade ago I talked my parents and grandparents into a partnership to buy a duplex near the school. I put down all my savings and they matched it for the down payment and co-signed the loan. I then managed the place and got roommates to fill all the rooms. It provided a nice cash flow for them and covered my room and board expenses. This investment worked out great for them to this day and the property has almost tripled in value.
Best of luck and let us know if you have any questions.
Investing in yourself is always the priority!
However, just a small piece of advice regarding real estate investing that someone told me at a young age... It doesn't get any easier. Don't get in the habit of putting it off. Always have it running in the background. Align those strategic partners now (parents in your case) and keep talking about real estate to friends, family, classmates, etc. Build that network and expand your sphere. If you don't pursue it now, once you are done with college you will have the next hectic phase of your life, starting your career, then starting your family, then funding your retirement...etc. Before you know it, you will have missed 20-30 plus years of appreciation, rent growth, equity growth, and cash flow.
Hey! I'm new, I just signed up with bigger pockets but I am absolutely stocked to be here!
I was curious to know if anyone could help me out, I'm only 20 years old, I don't have a credit score or any credit cards, but neither do I have any debt or bills seeing that I am living at home for the time being.
Do any of you more advanced investors have some advice, pointers or guidance you could lend?
I have considered partnering or Co signing with my parents on a house hack up at college yet still unsure with the direction.
Any comments or advice would be awesome!
Thanks and have a great day!
Welcome to BP! Your light years above your peers just by signing up and seeking advice. Luckily Boise has some amazing first time homebuyer programs so seek out a good lender. But first, as other have said, get a credit card and start building up that credit. By a couple small things on it each month and pay it off every month. If you are getting help from your parents for college look into putting student loans in your name and then having them pay them off after you finish your course. This will show once again good credit usage on larger loans only increasing your credit score.
Talk to your parents about house hacking at college. When I went to school a decade ago I talked my parents and grandparents into a partnership to buy a duplex near the school. I put down all my savings and they matched it for the down payment and co-signed the loan. I then managed the place and got roommates to fill all the rooms. It provided a nice cash flow for them and covered my room and board expenses. This investment worked out great for them to this day and the property has almost tripled in value.
Best of luck and let us know if you have any questions.
Investing in yourself is always the priority!
However, just a small piece of advice regarding real estate investing that someone told me at a young age... It doesn't get any easier. Don't get in the habit of putting it off. Always have it running in the background. Align those strategic partners now (parents in your case) and keep talking about real estate to friends, family, classmates, etc. Build that network and expand your sphere. If you don't pursue it now, once you are done with college you will have the next hectic phase of your life, starting your career, then starting your family, then funding your retirement...etc. Before you know it, you will have missed 20-30 plus years of appreciation, rent growth, equity growth, and cash flow.
Gibson! You ARE alive!! lmao
IF your Dad is "going to build a duplex" AND you still want to be involved in the RE industry... ask him to show you what he can or wants to... all he can: from the planning, budgeting/financing, scope of work, drafting of plans or hiring of a Designer/Architect, dealing with the city and Codes, the GC, subs (or if he lets the GC do it all), etc etc ...
THEN, also be involved ON SITE to help or do some of the work! Site prep/planning, foundation, plumbing, framing, roofing, electrical, hvac, flooring, rock (sheetrock), and on and on and on ... You'll be amazed at all the stupid "little stuff" that you'll learn that 95% of people never know, that goes into a property build.
OR ... dive back into the school work and, pick all this up when you can. :( LoL -> Some RE investors will say that you don't need college or a degree, others will insists on it, if nothing else just for the experience of it and growth during that time.
There's no one perfect or right answer, only You can decide. And, you'll never pick the right thing 100% of the time. LOLOLOL Welcome to life!!! :D
(w/ J's Roofing - Richardson, TX )
Gibson! You ARE alive!! lmao
IF your Dad is "going to build a duplex" AND you still want to be involved in the RE industry... ask him to show you what he can or wants to... all he can: from the planning, budgeting/financing, scope of work, drafting of plans or hiring of a Designer/Architect, dealing with the city and Codes, the GC, subs (or if he lets the GC do it all), etc etc ...
THEN, also be involved ON SITE to help or do some of the work! Site prep/planning, foundation, plumbing, framing, roofing, electrical, hvac, flooring, rock (sheetrock), and on and on and on ... You'll be amazed at all the stupid "little stuff" that you'll learn that 95% of people never know, that goes into a property build.
OR ... dive back into the school work and, pick all this up when you can. :( LoL -> Some RE investors will say that you don't need college or a degree, others will insists on it, if nothing else just for the experience of it and growth during that time.
There's no one perfect or right answer, only You can decide. And, you'll never pick the right thing 100% of the time. LOLOLOL Welcome to life!!! :D
(w/ J's Roofing - Richardson, TX )
Thank you so much!! Honestly have of that flew over my head boy do I have alot to look into😅 thanks, I'll put my best effort into researching all those things and making some kind of deal with my dad.
I read a cool Japanese proverb the other day-
“A spoonful of sweat can save a bucket full of blood”
See, told ya it was cool.
This may sound corny but first taking the time daily to visualize where you would like to go in life is numero uno…
Understanding CONCEPTS is way better than following a particular guru. Don’t fall into the trap of being a guru worshipper. The world needs your spin on things not someone else’s outlook.
I read a cool Japanese proverb the other day-
“A spoonful of sweat can save a bucket full of blood”
See, told ya it was cool.
This may sound corny but first taking the time daily to visualize where you would like to go in life is numero uno…
Understanding CONCEPTS is way better than following a particular guru. Don’t fall into the trap of being a guru worshipper. The world needs your spin on things not someone else’s outlook.