All Forum Posts by: Stephen Barton

Join the croud @Mona Medina. I just became an agent last year and literally had almost no experience. I have experienced in my life that just "jumping in" and making things happen is the best "education" anyone could ever have. Did you know what you were doing on your first listing or working with a buyer? Probably not. I know I had no clue, but I was determined to serve my client to the absolute best of my ability. 

The world of investing has really been over glorified in my opinion. Investors are really just people like you, me, anybody. I think the only thing you should keep in mind is that investors are a frugal bunch. We are always looking for the "edge" or that "secrety sauce" that can separate us from our competition. If you chose to work with an investor just look at your strengths and find ways to "fill in the gaps" where your investor comes up short. Such as, they may need a listing agent who can do a reduced fee listing for them. Or, they may need an agent who can go check out properties for them. 

Do not be intimidated by the whole "investor" title. Just be yourself and find ways to excel where they might be weak! Investing can be very rewarding, and especially in your market an investor might be your "bread and butter" type of client where they will always depend on you for your expertise. You got this!

Hi there Linda & @Account Closed. The first thing you need to find out is if your state is a Title Company State or do you HAVE to use Attorneys to close real estate transactions. Once you get that sorted out I would suggest becoming a PRO member here so you can zero in on someone who is actively wholesaling in your area and ask them for contracts. A good investor who actually has a heart will send them to you for free. As beginners we make more of a big deal (regarding contracts) than it really has to be. 

Now, you need to ask yourself the "why" question. Why, do you want to wholesale? What is your end goal? Sure, you want to make money like the rest of us. Honestly, I thought that I would get into wholesaling to make massive amounts of cash but the reality is that unless you are already established you are going to spend thousands of dollars before you make thousands of dollars! True statement!

You have to get your name out there and the only way you can do that is spend money. You market to sellers, real estate agents, investors, or anyone in your area who is actively buying and selling real estate. I wanted to get into real estate because I wanted a stable income- which I do NOT have as a wholesaler. I am wholesaling to build capital in order to buy rentals. Unless you are incredibly lucky or just an absolute animal then you will find that you make about as much as you spend each month. It is just reality. I have been doing this for two years and I am just now starting to see real income for my business. Yet, I am not even making more than $20,000 a year because I am just keeping the money in my business instead of pulling it out and spending it.

If you really want to make money then I suggest looking at getting into rental properties. I know someone who is 25 years old and is now sitting with 5-6 rental properties. He is getting stable cashflow each and every month whether he wakes up and goes to work or just stays in bed all day (which he works all day). That is the lifestyle I am pushing towards. Money that comes in without me having to do hardly a thing. You could also look at flipping where you just make all of the money. 

For you guys starting out I would suggest finding someone in your market who needs a little help putting on lockboxes on a property, or going to take pictures of a house. Just find someone who can mentor you. That is what I sort of did, only I just started wholesaling on my own using the "Fake it, till you make it" method:) and once I found my mentor the rest is history. Find a deal and then find your mentor- even if they are just temporary find someone you look up to and someone willing to walk with you during your first steps into this new path you have chosen. You can do! You just have to want it more than the next person!

Welcome to BP! You have come to the right place. @Brandon BurrellI want you to reach out to me so we can connect. I believe there will be a post next week by @Ben Leybovichwhere he is going to talk about getting started that you should look for on the Biggerpockets blog.

I have been wholesaling for two years next month- woohoo! Now, back to reality I have to tell you that I think it is important to find your "Why Statement". Why, do you want to get into real estate. For me, I want to start getting passive cash flow over the long term. I thought much like you did and I figured that I would wholesale to build up my capital first. Wow! Boy, was I in for a treat. 

If you like to spend a lot of money each month in marketing then wholesaling is your ticket. I have spent close to $4,000 just this month alone and still have not had one deal come up for this month. I am working on 3 deals from the month before but there is just so much competition out there. I am not trying to stifle your interest in being a wholesaler by any means. I am saying that the idea that you will "get rich quick" is not very realistic. It is more work than I could have EVER dreamed. People say that but when you are working 50-60 hours a week, month after month with nothing to show for it- you sort of go crazy.

I suggest you really meet with some wholesalers that you look up to in your market and buy them a cup of coffee or just talk over the phone at the very least (That's what I did). Then, you will hear their advice for getting started. I suggest if you are wanting to flip properties then you need to find a flipper who you can work under to learn how it actually happens. You need to shadow someone before you go taking out lines of credit or blowing your own money in the wrong areas of town, or on the wrong updates. I simply want to see you achieve your goals, but I want you to be careful doing this. Everyone says, "Be a wholesaler" but they have NO CLUE what that actually means. 

To start off with I am not a mortgage expert or a real estate attorney, but I cannot imagine why you could not sell. A house is a house. I am sure if you look at your mortgage information you might find some clauses describing what you can and cannot do.

Honestly, if you are paying a mortgage- you own the property. It's just not totally paid for yet. So, when you pay off the mortgage you would satisfy your obligation to the ledee which means you will own the property. Your best bet is to call the mortgage company you are working with and find out what your payoff amount is. If the government property is located on an Army base or some military installation then perhaps you will have some guidelines to follow regarding who can purchase the property. Just my two cents worth @Monique Howardand @Account Closed. Great question!

I agree with what everyone here that is saying to just let it go @Jeffrey Hayes. In fact, I can speak from experience on this matter as I just had to walk away from a short sale too! I learned that you cannot benefit twice due to a short sale. Basically, when you get a short sale you cannot get a commission too. Even if you took a commission from someone "on the side" you could be looked at by a government entity (not sure which one) for a crime. 

Obviously, I am not an expert on this as I am not even sure on what law would be broken but I was told the same information like it was common knowledge and should have already known this. I have done a few deals in my two years of experience and I have to say there is ALWAYS that "unknown" factor that comes up. Some material defect you didn't plan on or maybe something that comes up later down the road. Plus, let's say you did the deal. You put in your rehab costs and then let's say you were able to list it on April 7, 2016. Have you taken into account your holding costs like utilities, taxes, etc? It all really adds up. 

I know you feel like you lost but do not look at it this way. Look at this as you did not do a deal that would have been really thin! Now, you get to take the same amount of money and put it toward a REALLY good deal. Out of all of the actual "mover's and shaker's" in my market: None of them will do a flip unless they make AT LEAST $20,000. When you go into a deal with that mindset you will do fine. Break one of the first rules then you could be set for disaster. To date I have only done 1 flip so I am not an expert, but I have done 50 wholesale deals closer to 100 transactions. Just wait until the next amazing deal comes your way- you will see! There is always something new around the next "turn". At least you still have the option to walk! Taking the time to ask the bp community shows that you are going to be very successful in real estate. Hang in there!

I just want to say @Mark Rauchthat I just did a deal in another state and it was not as bad as what people make it out to be. I just made it my mission in life to find the RIGHT people to work with. I found an outstanding agent, got a referral for a contractor, and a closing attorney. Granted I ended up wholesaling that deal I still had everything in place to do a flip but chose to take a small portion of profit in exchange for not dealing with a flip. 

I think you just need to be confident in the people you are working with. I help an out of state investor and one of the best things he did was he actually came out for a weekend and we spent two days together just driving around and getting to know the area I work in and getting to know each other. Establishing a relationship (not just a phone call) will be your key to success- in my humble opinion. You can do this!

Welcome to biggerpockets @Donald Roberts. You have come to the right place. I would say just reach out (message) anyone on this site who inspires you or who you look up to. Pretty much every person I know on this site is willing to help each other out. It is not being "weak" to ask questions. I have people much older than me asking me for help and I am just honored to share what I have learned so far thanks to others that have done the same for me. 

I think you are right about goals for 2016. For me, if I do not set some goals I will start chasing everything I see in front of me. If we can keep our focus on our individual goals then we are more likely to succeed. Good luck in the New Year and welcome once again!

Welcome @Joyce Tebangin. You made it to the best place for anyone wanting to get started in real estate- Biggerpockets. I hope you reach out to anyone who you look up. Pretty much anyone on here is very approachable and I think you will find we all love to help one another. See you around the forums!

Hi Jay,

I believe my wife and I would be great candidates for this opportunity. I believe "God works in mysterious ways" because we have just attained the means financially to handle this undertaking. My wife and I are wholesalers, but our long term goal is to be "Buy and Hold" Investors and we have just started actively looking for our very first rental. This would make our life so much easier (and cheaper).

I feel that I am fully qualified in every way to handle this project and the best part is we love to give to charity's! I will not bother you with a message as I am sure you are being bothered day and night. Thank you so much for giving back to this community! (I hope to do the same exact thing someday) I am sure the joy you have in doing this will be greater than the person receiving this amazing gift.

Great idea@Account Closed you have no idea how much this site has meant to my business and to my family. Biggerpockets has truly opened doors I could never have imagined being opened. I owe everything to God, first and foremost, but to Biggerpockets for giving me so many resources with which I have been blessed. So Josh if you ever have a bad day or wonder if what you do is ever worth it- just know that there are a bunch of people who's lives' have been changed because you had the calling to create this site! Well done! I believe we all have so much to be thankful for this year!