Don't Waste Your Money on Real Estate Courses!
Hi there! Welcome back to my blog. I'm a realtor, investor, and property manager here in San Antonio, TX. As you know, I like to talk all things real estate. Today's post might get me in trouble. I feel really passionately about this, and might end up on a soapbox, but please bare with me. I get a lot of questions from newer investors asking if they should purchase real estate courses - my short answer is an emphatic no. Read on or watch my video on YouTube to learn why.
Smells like a scam
There are a lot of internet gurus out there that want to tell you how you can reach financial freedom and make all this money, if you just pay them thousands of dollars to tell you how. I'm gonna level with you guys - I am OBSESSED with scams. I get really interested in learning about the newest and oldest scams out there, so I see this kind of thing all the time.
If you can pay for the class, you can pay for a deal
Here's the thing: if you have the money to pay for this class, you have the money to just start investing in real estate. If you're going to buy a $5,000 course or coaching, you can just take that money and go out and find a property yourself, partner with a more experienced investor, try to wholesale something. If you don't have a house yet, you can probably get pretty close to being able to buy your own place with an FHA loan. Why would you put your hard-earned money into someone else's hands to provide you a course, when you could learn so much more from doing your first deal than you would in a course?
When you have money in the deal, you have to learn about everything that comes with closing, looking for a deal, running numbers, etc. Because your money's on the line, your brain is going to absorb it so much better and you're going to be so much more invested in the whole process. It just really grinds my gears that there are so many people out there trying to charge people money for this stuff.
Okay, but I need to learn something, right?
There are plenty of free resources out there, too. I'd recommend going to Bigger Pockets - there is so much to learn from here! I'd recommend the books (ok, so they're not free, but they're much cheaper than a course) from Bigger Pockets, as well. My favorite real estate book is The Book on Rental Property Investing because it is just so clear and has everything you need. Read the book, buy your first property, and do it. Congratulations, you're an investor.
What about networking events?
I've gone to some other events that were promoted as a networking event for investors. When you get there though, it is just a big old pitch to join their club or buy their course for thousands of dollars. That's not what I'm here for! I'm here to learn and meet other people. Seriously, go to Bigger Pockets, join the network. Go to other events that aren't about selling a system. Hear other people's stories and learn about their strategies. Make relationships and keep up with your contacts - these are the folks who can help you troubleshoot or maybe even partner with you on deals. Make relationships with lenders, wholesalers, property managers, etc. The people that I've met who are investors are generally happy to help others. Do that instead of paying so much money for a course.
Why am I telling you this?
When my husband and I were really young, we went to a big rah rah weekend meetup, where they pitched us on spending even more money. Luckily, we were pretty broke at the time and couldn't afford the extra courses, but we had already spent a lot of money (for us at the time) on the first meetup! We could have just used that money to start looking for our first deal!
I've seen some other programs encouraging older people to take out money from their 401k to pay for the course and then learn how to do property investing. What the heck?! Just take that money from your 401k and do the deal! I just hate seeing people duped by these folks, so I want to let you know, from experience, that it is just not worth it.
The moral of the story is: meet real people, make real relationships and don't spend money on these courses. Put your money into a deal, where you will learn the things you need to know and they'll stick because you have more skin in the game.
If you need help, let me know. I'm always happy to help. I have a meetup every other Tuesday - it is always free and always will be and I don't have a course to sell you. We just get together to help each other, get some resources, and just get to know the business.