Posted by cork horner on September 21, 2009 at 22:52:14:
A lot depends on what city/area u are in.
Example: KC, MO is a rock solid low price area.
cork horner
san diego
I feel so overwhelmed with this… - Posted by Jeff
Posted by Jeff on September 21, 2009 at 20:28:16:
I guess I’m really just venting for no reason…but I figure if there’s anywhere to get advice this is the best place.
I just got out of the Marine Corps. (I’ve posted here before) and I want to get out of my parents house. I’ve been reading about Real Estate for about 8 years and I’ve always wanted to dive in. I never had money. I have 10,000 dollars now and I figure with the economy there can’t be a better time to buy with 10k than now.
So now I’m out looking for properties and it’s so confusing. Do I deal with realtors or don’t I? Should I use a buyer’s agent? What’s legal, what’s not, what can I do and what can’t I do? Hard money lenders??? WHERE???
I know the books I’ve read have all described everything in detail but it seems like all of the books I own and I have read are completely irrelavant now.
How do you evaluate a property? It’s not as simple as the books make it sound…it doesn’t seem to be anyways?
Can someone just give me some advice on the best route for a 25 year old ex-marine with 10,000 cash and a 3,000/month imcome should start out? What are the best books to read TODAY. Books that have “realtime” advice and statistics and strategies?
Re: I feel so overwhelmed with this… - Posted by Lee
Posted by Lee on October 04, 2009 at 24:09:10:
If you are going to do a creative deal like a lease/purchase or a sub2 deal where you take over the persons mortgage then you most likely don’t want do have any Realtors in the deal.
Most Realtors don’t know or understand creative financing and only know how to sell a property when a lender is involved.
Here are a few things that you can do to get started to build up some cash reserves.
You can make lowball offers on junker houses that are on the MLS. These are properties that have been on the MLS for a long time. Many of these are properties now are the foreclosure homes that banks have taken back. You want to offer about 20 cents on the dollar and when they are accepted you sell these to rehabbers or landlords for about 40-50 cents on the dollar. This will build your cash reserves.
If you are looking for a home for yourself in a nicer area of town then call homes that are for rent and ask the owner if they are looking to sell the property. If they say yes then ask them if you could rent the property with an option to buy. You want to get the purchase price as low as possible. Ask the sellers if part of your rent can be credited toward the purchase. After you have lived in the property 3-5 years then you could either exercise your option to buy the property at the low price or you could sell the house and pocket the money between your purchase price and the price you sold it at. Try to option the property for as long as you can.
Re: I feel so overwhelmed with this… Help here. - Posted by Jack-E
Posted by Jack-E on September 30, 2009 at 16:02:13:
As an ex military and almost 40 years in the R.E. business, I would be happy to help you. If you are interested, post and give me your email address and I will attempt to answer any question you have. Semper Fi
Re: I feel so overwhelmed with this… - Posted by Dave
Posted by Dave on September 26, 2009 at 15:15:58:
Learn, get an education. Check out the library for some books.
Go to the local REIA clubs, listen, ask alot of questions.
Check out the articles here about the different techniques.
Set a goal for yourself. Put together a plan and step towards the goal every day.
Re: I feel so overwhelmed with this… - Posted by Shawn Sisco
Posted by Shawn Sisco on September 22, 2009 at 11:49:53:
I would reccomend Lonnie Scruggs “Deals on Wheels” it is an excellent book describing the mobile home business. It is as well an outstanding primer on notes and paper. Read the archives on all of the CRE forums.
Re: I feel so overwhelmed with this… - Posted by mikeia
Posted by mikeia on September 21, 2009 at 22:05:43:
Relax…I was in your shoes, I knew everything about everything about
RE. But to be real…I never had any cash, just the desire to succeed. I
read every book and thats what you need to do, but you also just need
to do it. Take one small area, learn the market, know your market, and
buy your first deal. Dont get caught up in all the mumbo jumbo.
Remember find the deal first, put it under contract, then worry about
the rest. Thats my advice, maybe a bit backwards from others, but I
think the only way to learn is to do it. Actions speak louder than
words. If you truly want this, you will succeed. Just remember you
make your money the day you buy it… You can do this…Everybody in
this forum is here to help you. We have all been in your shoes…In our
own way. My advice, keep your money…for now. First things first( get
a preapproval letter from your bank) or partner…Then find the deal. If
this wont work, find a partner of flip off your deals until you have
enough money.10k will go along way if you play your cards right…
Good luck with your endeavors…Im still learning as I should be in this
game. Good Luck
Regards Mike IA
I second "Deals on Wheels " - Posted by Lin (NC)
Posted by Lin (NC) on September 22, 2009 at 19:05:20:
Jeff,
Mobile home deals are great training, even if you don’t do them for long. You learn about inspections, due diligence, negotiating, paperwork, selling. It’s hard to lose money on a Lonnie Deal, too, even when things go wrong. Just be sure you follow the advice in the book. And there are plenty of people on the mobile home forum who love to help beginners think through and work through their first deals. If you play it smart you may not need much of your $10k, if any.
I started with Lonnie deals in 2002 and now I’ve moved on to apartments and self storage facilities.
Good luck!