All Forum Posts by: Anderson S.

I've been hearing a lot about the potential of real estate investing to build lasting wealth. How are you generating steady cash flow, benefiting from appreciation, offering tax advantages, and diversifying your investment portfolio?

Hey Lia,

First and foremost, congratulations on taking the initiative to embark on your real estate investing journey at such a young age. Your background in physics and economics, coupled with your leadership role in the Commercial Real Estate Club, provides a solid foundation for success in this industry. Your eagerness to learn and methodical approach are commendable.

1. House Flipping vs. Multi-Family Properties

Starting out, it's crucial to balance potential returns with manageable risk.

• House Flipping: While flipping can yield significant profits, it requires substantial experience in project management, cost estimation, and an understanding of the local market dynamics. Renovations often come with unexpected challenges and expenses. As a hard money lender, I've seen new investors underestimate these factors, leading to diminished returns or even losses.
• Multi-Family Properties (House Hacking): Investing in a multi-family property, especially through house hacking, can be an excellent entry point. By living in one unit and renting out the others, you reduce your living expenses and generate income. This strategy allows you to learn property management firsthand with less risk. Turnkey properties, which require minimal immediate work, enable you to start generating rental income right away.

Remember, no amount of education can replace the lessons learned through actual experience. Starting with a manageable project will provide invaluable insights. At 21, you have the advantage of time. Use it to build a solid foundation without rushing into large, high-risk projects. Real estate investing is a journey where each step offers new lessons and opportunities for growth.

As a hard money lender, I understand the challenges new investors face. If you need assistance with financing options or further guidance, I'm here to help. Together, we can navigate the complexities of your first investment and set you on a path to achieving your long-term goals.

Wishing you the best of luck on your real estate journey!

Hi Diane,

It's great to hear that you're starting your real estate investment journey and already considering key strategies like the BRRR method and/or Section 8! Both can be powerful tools for investors, especially when you're looking to maximize cash flow and returns.

Since most lenders have a minimum loan requirement of $75K, you might want to explore hard money lenders.

These lenders specialize in funding investment properties, even for amounts below traditional lending thresholds. Hard money loans are often short-term and ideal if you're planning to use the BRRR method, where you refinance after rehabbing the property.

Reach out if you have any questions.

Hey Clint, are you looking to fund a flip soon?

Did you flip this property? What was the outcome? Love the design, any pics of the interior?

Or use a service like Propwire which is free.

When you're ready, happy to talk hard money lending.

We're happy to jump on a call with you to go over things. Generally speaking, hard money loans are often used by investors who need quick funding. The higher costs are offset by the speed and flexibility of the financing.

For us our largest challenge is finding a steady stream of high quality leads.

It's possible, but ultimately what's your exit strategy?