Posted by Steve in NJ on July 08, 2001 at 09:13:40:
Thanks
What should I do? Where should I start? - Posted by Steve in NJ
Posted by Steve in NJ on July 07, 2001 at 18:35:00:
Hello,
I have been reading this website for a few months now. I have learned so many ideas. This is the best site out there. I even bought Lonnie’s DOW. Good book, but I am still deciding if mobile homes are for me. I am 25 years old, work in the computer field and I run a small computer consulting business in my free time (www.infotable.com). My job and business is the NOW money. I want to start planning for my future retirement today. I have always had an interest in real estate. I am wondering where I should start. The cash I have I want to keep for an emergency. Because of my excellent credit, I currently have about $18,000 available to me (2 credit cards) at 9% interest. I also have friends in the building, mortgage, real estate sales and construction equipment area. I am sure that these people will give me a great advantage/help. I was thinking that foreclosures/rehabbing/retailing would be a good idea. Anyone’s suggestions would be appreciated. Thanks everyone.
Steve
groups - Posted by Sue
Posted by Sue on July 09, 2001 at 13:22:24:
Steve, I live in South Jersey and plan to attend a real estate investment group I found on the net. I’m not on my home computer but if you let me know what area you are in, I will send you the web address for a group close by.
p.s. I’m jealous that at 25 you are so far ahead of me. (Just kidding) Best of luck to you. Sue
Re: What should I do? Where should I start? - Posted by Real estate Newbie
Posted by Real estate Newbie on July 07, 2001 at 21:28:57:
Have you ever thought of reading Bronchick’s Flipping Properties book? I just got mine today at Barnes and Noble and I seem to be enjoying the reading.
Real estate newbie
Re: What should I do? Where should I start? - Posted by Jay_TN
Posted by Jay_TN on July 07, 2001 at 21:09:46:
Steve, looks like you are really planning well. I’m also 25 years old, and have foregone promising job offers as a project manager/engineer to work in real estate investing.
Steve, Anne made some excellent points. I concur. Upon reading your post, it occured that rental properties might work well for you IF you already have good income. The tax benefits make rentals one of the best returns for your money. I personally have been in rentals exclusively, but having remodeled over 20 properties, I have decided to start buying rehab projects to flip for profits. The profits will be offset by depreciation and paper losses on the rentals. It combines good income with excellent long term appreciation and equity building.
In fact, when the stock market goes up, I’m cashing out to go into real estate. Why let some CEO manage my profits, when I can handle it myself???
Anyways, good luck. Looks like you’re on your way to financial greatness.
Regards,
jay
start with you - Posted by Anne-ND
Posted by Anne-ND on July 07, 2001 at 20:51:45:
Steve,
Given all the positives you have going for you, take a little time to find out what it is about real estate that really grabs you. What do you love to do? Is the financial machinations? Is it taking a run down house and making it beautiful again? Is the the thrill of owning a piece of real estate that throws off a great cashflow? Is it the people side of the biz? Get to know your RE market, and talk to people in your area who are already doing similar things. Learn what makes your heart race, and then make your move. It will greatly enhance your success.
best of luck to you,
Anne
PS- It is particularly important that you enjoy rehabbing if that’s the route you take.
Re: What should I do? Where should I start? - Posted by Steve in NJ
Posted by Steve in NJ on July 07, 2001 at 21:32:16:
No, I’ll have to check it out tomorrow. Thanks.
Re: What should I do? Where should I start? - Posted by Steve in NJ
Posted by Steve in NJ on July 07, 2001 at 21:15:40:
Thanks Jay.
Yes, part of my plan does include renting. It would be nice to have a few free and clear properties by the time I retire. As matter of fact, I just purchased my first rental property 6 month ago, I am living in it, lol.
Re: start with you - Posted by Steve in NJ
Posted by Steve in NJ on July 07, 2001 at 21:08:21:
Thanks. You are right. My biggest problem is that I like all facets of RE. I just can’t decide. But, this site is helping…
Thanks again
Re: What should I do? Where should I start? - Posted by Jay_TN
Posted by Jay_TN on July 07, 2001 at 21:35:53:
You don’t necessarily need to own the property free and clear to reap the maximum benefits. Some of the properties I have are showing $100-300 cash profits, after paying mortgage, taxes, and insurance. Then, when you consider that the tenant is building your equity, deducting 1/27th of property price for depreciation, as well as deducting all expensese and mortgage interest, you will be showing a loss on paper.
The downside: maintenance and management issues. However, I’m doing this full time, so it isn’t overwhelming.
Good luck,
jay