The logical first investment for new investors
I specialize in helping new investors not fall into what I call the "BP Trap". The BP trap is what many get caught up in when they come to BP and get stuck up in the quicksand of believing real estate is going to solve all your life problems quick. Some of the ideas that are spread on a daily basis are:
Buy real estate and become a millionaire
Buy real estate and quit your job
No credit needed
No cash needed
Wholesaling is legal and easy
Become a real estate agent for easy MLS access
Plus many more...
Let me ask you a question, are you here to make your life better or do you want it to stay the same, or get worse?
If you want it to get better treat your new real estate investment journey like a marathon not a sprint, and let go of all the ideas above. Take things one step at a time, and learn as you go.
So what is the first logical investment for a new investor like you to sink some effort into?
First, let me tell you what is not logical...
becoming a "wholesaler"
Becoming a real estate agent
Flipping real estate
Would you walk into a job on the first day and ask to become the general manager? No, you would not. You would want to acquire some knowledge about the company first. This is exactly why you cannot one day to decide to get into real estate and expect any success as a "wholesaler", real estate agent, or house flipper. You need knowledge, and knowledge takes time to acquire. I see too many new investors get on to BP, and buy into the hype of becoming a "wholesaler" they put lots of time into putting out "bandit signs" and posting in facebook real estate groups talking about "join my cash buyer list" they spend months or years doing this and have nothing to show for the effort.
Why?, you ask
Because they know nothing about copywriting
They know nothing of lead generation
They know nothing of sales scripts
They do not know how to follow up properly
plus so much more....
It takes time to learn all of these things....
So if you need time to learn the skills needed to be successful in real estate, what is something you can do that will bring results with 0 knowledge?
Buying your own home
The logical first step for a new investor is to buy your own home!
Millions of homes sell every day to individuals and families who know nothing about the power of owning real estate, and on average 5 years from the time they buy, they accumulate more or less 48k in equity.
All with ZERO real estate knowledge
Meanwhile, the new "wholesaler" spends 5 years building a "cash buyers list" while they read so much different advice on BP that they never know which way to go. They put out bandit signs. They drive for dollars. They do everything they think they should do...and get 0 deals, and tossed 5 years of rent payment cash down the toilet. They reach the end of 5 years with nothing to show, they still have bad credit, they still have no money, and they are convinced real estate investing is not for them.
I want to leave you with one piece of advice.
Do not become the person with nothing to show after 5 years. Take the logical first step now, and purchase your own home. Low to no down payment options are available. High credit scores are not needed. Down payment assistance is available, the only thing you have to do to make progress today is reaching out to a competent real estate agent in your area today. No matter if you intend to buy in 30 days or 3000 days a real estate agent can help you get your strategic homebuying plan together so that you can accomplish your first success in the time frame you are comfortable with.