JUST GOT SHOT DOWN - Posted by sue

Posted by wpage on February 05, 2002 at 16:04:02:

Sue I wouldn’t get too upset by this guy. Maybe he just wants to keep the market to himself or maybe it’s because your a woman and he doesn’t like the competition?? You can do deals without money but I would suggest you start getting some cash flow to pay the bills because there will be times where you need a minimum of cash to cover late payments by tenants, closing costs, etc. Just to ease your pain, when I started my wife thought I was nuts. Then when I quit my job after 1 1/2 years part time R/E to go full time then she knew I was nuts!! My first deal I gave my rent money due in 2 weeks as a down payment on a house. I had to hussle to make the rent payment. good luck. patience is a virtue.

JUST GOT SHOT DOWN - Posted by sue

Posted by sue on February 05, 2002 at 15:11:06:

Well I just got my spirits torn down. I located my local real estate investor club, as suggested. Any way, I spoke with the cofounder. I explained my situation and my interest in getting into real estate investment. He said, that I need to get a job and have a job for at least 6 months before even trying to invest (I’ve been seeking work). He also said that I shouldn’t lool for property to that I’m not going to be living in and that I should find property to live in first, maybe a duplex and rent one unit out and live in the other. He told him that I wasn’t seeking property for myself right now that I wasn’t interested in purchasing distressed property and flipping them. I don’t think he knew what flipping meant. He didn’t respond until I explained it to him. I told him about this site and what I’ve read about not having to have a job or credit and purchase property and he said it’s all a bunch of BS, that these type of deals happen out west.

I felt this club was my only hope, since I don’t have any money right now, but after talking to this guy I feel like I’ve taken a few steps backward.

If there is anyone out there that could help me with this delemma I will appreaciate your POSITIVE suggestions.

I live in New Jersey

Re: JUST GOT SHOT DOWN - Posted by Ronald * Starr(in no CA)

Posted by Ronald * Starr(in no CA) on February 08, 2002 at 10:25:54:


You got lots of good advice. I suggest you try to get a job in a title insurance company as a title researcher. You will earn a bit as you learn a lot. Also, as suggested, take r.e. courses at community colleges which are oriented to potential real estate agents.

It takes a lot of persistence to make money in real estate. Especially when starting with little in the way of resources. Fortunately, every resource can substitute for every other resource. There are resources that you can acquire for free or cheap: knowledge of local market, knowledge of deal structuring, copies of documents, developing contacts with people, learning negotiating, learning direct marketing techniques, developing your own brand of chuzpah, and so on and on.

It is not easy. It is not easy to get rich. It is not easy to get rich with real estate. HOWEVER, it is possible. You just have to put in the effort to make it happen.

Good InvestingRon Starr****

He’s Scared of You. - Posted by Milo Riley

Posted by Milo Riley on February 06, 2002 at 18:27:54:

He’s scared you gonna steal his deals. You mentioned that “newfangled internet thing” and he’s trying his best to keep you from aquiring the knowledge to fufill your dreams. Don’t sweat it. I know everybody in the club is not like him. Keep your head up.

Re: JUST GOT SHOT DOWN - Posted by Frank Chin

Posted by Frank Chin on February 06, 2002 at 06:58:40:

Hi Sue:

I see you’re keeping a lot of encouragement from folks on this board.

Having said that, I could see from following the discussions here that nearly 99% of them started RE on a part time basis, meaning they had a JOB, and did RE part time at nights and weekends at least for quite a while in the beginning. I recall Steve Cook meantioning that he did an incredible amount of research in his area before going full time. But I beleive he had a job when he was doing the resaerch.

Even what Steve did was the exception.

I don’t know how much education you have in RE. Taking RE courses at a college is one. Taking the RE licensing exam course is another, even it you don’t go for the license. I have done both.

Doing flips require an high degree of knowledge of neighborhoods and prices. There’s a rule of thumb that you should look at 100 houses to get a good fix of what values are in you area. It took me 8 months to do it, on weekends and evenings, checking out two properties per week.

Checking out 100 properties means you need a car plus gas to do the driving around in. Then because you have no job and credit, you’ll probably have to line up a hard money lender to swing some deals. Have you thought about that?

There’s been discussions on the plusses and minuses of being a RE agent. One budding RE investor started REI being an agent at a local Century 21.

He actually spent most of his time doing deals, and very little doing cold calling for his boss. He explained that each agent was assigned a certian area, and they’re supposed to call or knock on doors to get to know the owners. He worked as a birddog on the side.

I gathered at the time he had no money and credit, but he cited the advantages of this approach was:

1- He gets to go around and learn about the areas, and get to deduct expenses while he’s doing it.

2- He wears the Century 21 Jacket, so people don’t ask him what he does. They’ll think - oh he’s a RE guy.

3- He got to meet investors and attornies.

After he got his bearings, he went to work as a closer for a title company where he has flexible hours and the chance to meet more investors and attornies and others in the RE business.

I guess what I’m saying is you’ll have to find an approach.

Staring with NO money, NO credit, NO knowledge, NO connections NO approach is very difficult. You’ll have to convert one of the NO’s to a YES.

Frank Chin

As a reia board member… - Posted by HR

Posted by HR on February 06, 2002 at 06:58:11:

I’m disappointed to hear about this guy’s negative attitude. Yes, it can be done. Yes, it does take knowledge, skill, and time. Yes, every local reia group can be an invaluable resource. Don’t let this guy get you down. Join, attend the meetings, and network with the “Doers”.

This is one small setback in a world of them you will need to overcome to become a successful rei.


Welcome to Your New “Club” - Posted by J.P. Vaughan

Posted by J.P. Vaughan on February 06, 2002 at 01:27:35:


This forum is a community where many, many people have
gotten their start in real estate investing. Post your
questions here, and we’ll try to answer them.

I think “quick flips” are a great way for a beginner to
start. We have several “How-To Articles” on this very

Very successful investors, like Steve Cook, got their
start right here on this news group. Steve now has a
course on “quick flips.”

Clubs are overrated… - Posted by Bryan in Cali

Posted by Bryan in Cali on February 05, 2002 at 19:49:47:

And not just in real estate. I’ve been given the silent treatment at a 2600 (hacker) club and a punker group (when I was younger and desperate to be accepted somewhere). A club will have a culture, and most likely you won’t fit in to it. I think “mentors” are overrated too-the have you making coffee for lousy advice. Get the courage to go out on your own. You’ve got all the mentoring you need in the CRE courses section.


Posted by JJJ - FL on February 05, 2002 at 19:33:18:

You know…I had a similar situation. Went to my local club…most of the ppl seemed nice enough. There seemed to be around 100 or so newbies like myself, and 10 ppl who were experienced dealmakers.

Well, the club had one of the dealmakers in charge of helping newbies so I went up to him and asked him what were his recommendations on getting started for flipping. He basically told me that I shouldn’t start out with that, and that all the “no money down” deals were crap, and that I should get a hard money loan and start out doing rehabs.

I realized this guy was full of crap. He himself is a wholesaler, and he didn’t want any more potential competition. As a matter of fact, making me a rehabber would increase his potential customer base.

So now I figure I’d rather listen to the people here who do the kind of deals I want to do everyday. And if no one is doing “no money down” deals in my area like this guy says, that means that I have the whole market for myself :slight_smile:


Cheer up! - Posted by Carmen_FL

Posted by Carmen_FL on February 05, 2002 at 19:33:12:

You just got rid of one competitor! :slight_smile:

“A confused mind always says NO”. If this guy really didn’t know what you were talking about, it could mean the club he’s in is more geared towards “traditional” buy-finance-hold deals than anything else.

But just because he’s not doing it, doesn’t mean no one else is. Keep looking, keep talking, and eventually you will find the “right” people to network with. Or “create” your own! If you run ads, put up bandit signs, and leave cards everywhere asking for people to “Make 15% on your investment, secured by real estate!”, you will find your own hard money lenders, or maybe even someone to partner with on your first deal (you supply the sweat equity, he/she supplies the cash). If you run an ad saying “MUST SELL-Fixer upper, cash only”, you will likely find rehabbers looking for these types of properties, who you can then bird-dog for (tell them that property JUST sold, but you are always on the lookout, can you put them on your list). Also look in your paper for similar ads, and call those people - they are more than likely investors, and if they are in the right frame of mind, you can pick their brains since they won’t mind talking “ad nauseum” about REI, since no one else in their life wants to hear them!

I say, create your own luck! Read up here on what other people are doing, and duplicate it. Or come up with your own ideas. Hey, if there are no “good” clubs in your area, maybe you can start one! But you don’t need to wait for that to start doing SOMETHING on your own right now!

Re: JUST GOT SHOT DOWN - Posted by phil fernandez

Posted by phil fernandez on February 05, 2002 at 18:21:12:


The guy that you talked to is trying to throw cold water on your plans. Especially if he says this site is BS. Just read the Success Stories here and you will see that it can be done without money, without a job, but you will need some experience. You can get that experience here.

The guy at the re club could also be fearful of your possible competition. Don’t let one person ruin your plans. You can do it. I did.

Re: JUST GOT SHOT DOWN - Posted by Al-So Cal

Posted by Al-So Cal on February 05, 2002 at 18:10:33:

MY GOD! Youve got to have something to start! If not a job-money-knowledge-etc at least a total emersion in real estate in your area. The money for a deal can come from family-friends-ads in the paper-etc. But youve go to have SOMETHING TO OFFER or you just
don`t deserve to kick butt.
Am I being too bombastic? Probably!!!


Posted by CLARE Z on February 05, 2002 at 16:34:57:

I would attend a meeting or two and keep your cards close to your chest. There might be hard money lenders there or Title people - get their cards and call them later.

Good luck, don’t let this one guy make you think the club is useless.


Re: JUST GOT SHOT DOWN - Posted by Robert (NC)

Posted by Robert (NC) on February 05, 2002 at 16:19:31:

You can do this. After talking with 4 real estate agents, I finally found one that Owns 100 rental units (SFH, duplex’s, good ones, dump ones, appartments)…
He even got started with NO money back in his early 20’s becuase his dad was in real estate and refused to LOAN him a PENNY to get started.
I talked to this agent for a little while and he basically gave me the entire Carlton Sheets course in 30 minutes… Every single bit of advice he has given me, I can find on this board…
Oh he also said it wwas HARD WORK, takes Patients and TIME>

Haveing a JOB does HELP… I got a great job but I don’t want to work for IBM for the next 15 years… If i’m lucky enough not to get downsized…

anyway… I do suggest you get a job… even if it is flipping burgers, or working as a waitress. Actually, being a waitress you can make a LOT of contacts if you learn how to slip things into conversations.
Flip burgers, mop floors, do something so you have some income coming in… that way you can say… I don’t want to work this physically hard. How many deals do I need to do to replace this physically tireing job ?
Then research, research, research… LOTS of reading…

As is offten suggested on this board… Go to all the local REIAS, make tons of contacts, find out what other investors want… then do some birddogging with them… That gives you enough cash and learning experience, so that you can then move into signing contracts and flippiing the property to another investor for a quick 3k to 5k or more profit… Do that to build up a cash reserve (works even faster if you have another source of income to pay your rent and you live WAY below your means)…
Then after a few quick FLIPs you might try a rehab to hold and rent…
But the key is to NEVER give you… Go slow at first… Search hard for a local mentor…
Learn VERY GOOD money management skills… Treat it like a business… Take care of the business needs before your personal needs…
You will do FINE… It might be a slow start, but if you hang in there in the end you will own your own Corp, make a nice living working WHEN you want to work…

Good luck… and LOOK at the END GOAL…


Re: JUST GOT SHOT DOWN - Posted by Bashir

Posted by Bashir on February 05, 2002 at 16:18:13:


There seems to be a good bit of investors on here from the New Jersey area. Find them and network!

Re: JUST GOT SHOT DOWN - Posted by MikeT

Posted by MikeT on February 05, 2002 at 16:04:03:


If you ask for advice from someone who hasn’t done it what is it really worth? This co-founder may mean well but what is says is just not true about needing credit and a job. I started last October and am on my 3rd rehab. Oh, i don’t have another job. This is it. As far as money. I’ve put out about $4,000 for 3 deals. So it can be done. I agree with the other posts, this site has so much information, and these are the real doers that you should be listening to.

Re: JUST GOT SHOT DOWN - Posted by Bashir

Posted by Bashir on February 05, 2002 at 15:45:18:


I checked under Resources on this site, and it shows that there are 5 REIA clubs in New Jersey. Try the other clubs also. If this site has them listed, then it is possible that they may use the techniques on this site. Good Luck! Try the New York clubs also! Philadelphia too!

Re: JUST GOT SHOT DOWN - Posted by Bashir

Posted by Bashir on February 05, 2002 at 15:39:29:

YA GOTTA Keep YA Head Up Sue! You will be talked to, and laughed at like a dog some times, but stay in motion. There are deals out there like people speak of on this site for sure.

Each market is different, and the knowledge level of the investors in each market varies. I live in Aiken, South Carolina, I invest in Augusta, Ga., and I am from Atlanta, Ga. I go to the Ga. Real Estate Investors Association in Atl. and they talk about all the same deals they speak of on here at their meetings. Creative offers work in every city, but they work best when you have motivated sellers! If your sellers are not motivated enough, then you get a buncha, buncha, NO’s. Each town has a “Conventional Method of Buying Property” that the people there are used to. When people like us come in with our “Creative Offers” it kind of confuses people. If you stay in the market long enough, and people begin to know you, you will be lead to sellers that are motivated. Don’t Give Up!

Also, there are people on this site that have made it without having a job, but it is a good bit of stress when you don’t have any cash flow to put food on the table and pay your mortgage/rent. Find any way that you can to get some cash flow that is legal! Or get a job that allows you a decent schedule, so you can work both.

Keep at it!

You can’t do that here. - Posted by Dave

Posted by Dave on February 05, 2002 at 15:33:25:

Well, Sue, you’ve got this guy that says it can’t be done and you have this whole board full of people who do it all the time. Who ya gonna believe? It sounds to me like this guy doesn’t know anything about creative real estate.

You need to forget about what this guy said and start educating yourself on how to do flips. There’s a ton of free info on this sight and I’ve heard that Steve Cook’s course is really good. When you find something that looks positive, post it on the board and you’ll get plenty of feedback. Where you go from here is up to you.

Re: Welcome to Your New “Club” - Posted by James McRae

Posted by James McRae on September 10, 2003 at 02:25:56:

We are Tradesmen from the Plumbling, Electrical, and HVAC Trades. That would like to start a
Real Estate Investment Club. Any help in this endeavor would be greatly appreciated.