All Forum Posts by: Nick W.

Thanks everyone for the response! It means a lot to have so many experienced people weigh in.

I guess I should have been a bit more specific in my post, as @Ali Boone inferred - our long term goals are still a bit ill-defined. We know we're interested in purchasing buy-and-hold investments, but we're not sure of the scope of our end game: do we want to stick with small multi-family units (tris, quads), or do we have interest in owning 100-unit complexes a la Ken McElroy? Either way, we know we want to start accumulating a portfolio of small multi-family properties in the short to midterm.

As @Jerry W. suggested, I think long term we are interested in buying properties that need minor renovations in order to reduce our cost-basis. When I say "needs some love," we don't intend to take on a project that requires stripping a house to the studs, at least not as our first. I did not realize, as @Brant Richardson pointed out, that turnkey in real estate involved having the whole infrastructure in place. I should amend my statement to entail only having the property in pristine. Thanks for the distinction!

We're also looking to start investing in markets outside of our local area, as property values in our part of Maryland are a significant barrier to entry. We both have roots in the Philadelphia area and are looking to start there in one of the suburbs. Property values are lower, we know the area well, and are back there often enough to drive by whatever property we end up purchasing. However, it is far enough away that, with our full time employment, we are definitely planning to need property management.

After reading what everyone had to say above, it's really helped validate and codify our thoughts on our first step. I think we'll be following in the footsteps of @Rolanda Eldridge - buy something rent-ready as our first property in order to minimize risk and start the cash flow as soon as possible. That way, once the business has some positive cash flow, we can save up to start purchasing fixer-uppers.

Thanks everyone, again, for all of your insight! It's truly invaluable.

Hey Everyone,

General question on starting out: given the choice between purchasing a turn-key property or a property that needs some love, what makes the better option for someone looking to buy their very first rental property?

My wife and I bought our first house (primary residence) this summer, so cash reserves are a little light, but we still are extremely interested in getting into real estate investing. We know we want to invest in cash flowing properties, but are torn between trying to find a fix-and-hold, or to keep it simpler for our first property and only worry about land lording. From listening to the podcasts and reading blogs, it sounds like managing contractors can be a bit of a pain and we have less than no experience in dealing with contractors. I'm curious - is there anyone who started with a fix and hold? What are some of the pitfalls to be conscious of? Am we off our rockers in wanting to start out this way?

Thanks for any advice or anecdotes to help us start our journey!

Why is it that it's near impossible to find an investor loan in Baltimore? Is it just the city itself, or is this also the case in the surrounding counties?

Ray Corkran - Great, thanks very much! Hopefully I'll meet you at one of the other events.

Ray Corkran I unfortunately have a work obligation this Thursday. Is this a recurring meeting? Thanks!

Thank you Brandon Turner for the welcome, and for sending me that article! It's EXACTLY what I've been looking for!

Thanks Michael Rious for the welcome and well wishes!

Thanks, Ned Carey. Glad to hear there are so many in the area to share experiences and to network with.

Hello BP Community! I'm Nick, a brand new member to Bigger Pockets and to the world of Real Estate Investing. I've been reading Bigger Pockets articles and listening to the podcasts for a while now, and finally decided to make the jump and create an account. Both my wife and I are federal employees in the DC area, and have jointly made the decision to start investing in real estate as a means of gaining additional financial freedom and providing for our future family.

We're currently living in Central Maryland, but are originally from the Southern New Jersey area, just outside of Philadelphia. Neither of us have done any deals yet, though we are set to close on our first home in the next week!

While we'd eventually like to start purchasing cash flow properties like apartment buildings, in the short term we're looking into strategies to raise the capital that we could then put into future projects.

We're very excited to get involved and start connecting with all of you!