The OFFICIAL Real Estate Investing thread

[Dolla$]

Whats good brehs, lately i’ve been putting putting a lot of energy and thought into taking the next step in expanding my portfolio and look into purchasing my second property. I currently live in/ and own a duplex but i feel like I’m getting complacent and want to own more but i don’t know what to do

Any brehs in here heavy in the real estate game that can dish out some advice?

Can someone with 10k-20k to play around with jump in the real estate investing game? How so because most properties require a 20% deposit.

Let’s share some knowledge and possibly build a network amongst ourselves like they do in the biggerpockets forum



Subscribe to their podcast as well if you have iTunes. Very good info

 

[Dolla$]

Now is the time to sell, not buy.

2-3 years from now the housing market will look like it did in 2008 and 2009. Foreclosures everywhere and banks desperate to dump them. That's when you buy, rent them out to cover the mortgage for 4 years, and then we're right back in a bubble and you sell. Wash, rinse, repeat.

I fully agree but majority of my properties + whom I own it with are in - college target areas which it doesn't make sense to sell. They would only make sense to sell if I know the next economic downfall will change rental prices here which in my case (college students + graduated students) it won't.

other advice I have been given is to start building properties (more returns but longer period) or fixing up damaged properties/reselling (faster roi but more risky in timing).

After next election and years to come after it (2020-2022) is my prediction. We will see a continuous small drops and foreclosure first. Banks are preparing themselves this time to take advantage of the situation this time. Look at the current trends with large businesses to see the pattern - layoffs, creating smaller infrastructures, depending on outsourcing. Places like NY with the deep amount of empty new housing.

Some gems posted in the Homeowners thread that i feel kinda got lost in the shuffle amongst other conversations that we have in there

 

[HacksawJimThuggin]

I've dropped a few posts in other threads regarding real estate investing (I'm invest myself and am also a real estate attorney). To answer your question, yea, you can actually do a decent amount with $10-20k but not in the traditional investing sense. I would use that money to come up with and fund a marketing plan so that you're able to start wholesaling properties and kind of go from there.

 

[Kyle C. Barker]

Subs

 

[greenvale]

Very interested in this

 

[HacksawJimThuggin]

My post from the other thread...

You don't really need much capital to start wholesaling. You probably need the following:

- Set up an LLC with the state. Almost all states let you do this online. Typical cost is around $250

- Create some kind of logo for marketing or branding purposes. I suggest going to Fiverr and having a graphic designer make you something simple for the low

- Deciding what your strategy will be as far as finding properties. This may involve driving around looking for abandoned/distressed properties to make offers on, online research to look into foreclosures or auction sales, traditional marketing (I'm sure you've seen sign posts around that say "we buy houses cash!"), or online marketing. My advice would be to try to make dip into all of these things to see what works best for you.


More than money, it takes time. I know it seems easy, but real estate investing is a skill just like anything else. You have to do a ton of learning before you're good at it. You need to know the market in your area so you can assess deals, and know how much you need to price a property at to maximize your profit. All this doesn't come overnight. shyt, I look back on when I first got started and I made a million mistakes just because I didn't know any better. And I'm a real estate attorney so I already had a background in it, imagine someone coming in without knowing much.

I think before you get started, just watch videos on Youtube about wholesaling and the different techniques that people use successfully. Also, check out meetup.com and start attending networking events and seminars in your area that focus on real estate investing. There's typically people there that are willing to help and it's also a great place to build your network. It's necessary to have a network to be good at this. Even if you're successful in getting a property under contract, you still need someone to flip it to. Those are typically going to be other real estate investors, so you need to start knowing some who you can offer properties to. But really just entrench yourself in it and educate yourself as much as possible. Once you know what to do, it's just a matter of execution.

The hardest part is finding the properties and then knowing what price to go under contract at. Figure that out and the sky is the limit.

 

[Pistolvania Prince]

Coli brehs, I need your help!
I got about 15k saved up & i want to start buying distressed properties in my old neighborhood (downtown Allentown, PA). The city is undergoing RAPID gentrification due to a special tax program called the Neighborhood Improvement Zone that basically lets developers utilize all the taxes collected within the zone to subsidize building costs as well as the rent to the tenants they attract. In the past 5 years over $1 BILLION of investment has poured into this 100 acre zone, dramatically driving up the rent for the city. In 08 you could rent a whole house for $700 and nobody wanted to pay that & now 2 br apartments are going for $1200 to start. However the area directly to the north of the zone is one of the worst in the state & has over 200 blighted properties. rents are going up & they just raised taxes for the 1st time in 12 years by 22% so I KNOW they are trying to get rid of the last citizens of the "old Allentown".I want to buy them & rent them out to Section 8 tenants since the govt will pay 75% of the rent I plan on charging ($1000-1200) which will pay for my mortgage+taxes+property management fees. Do you think it would be better to target these abandoned/blighted homes or would buying them via sheriff sales make more sense? Most homes sold for under 50k in 08 & are going for almost 2x that now.

Real Estate & Homes For Sale - 0 Homes | Zillow
Real Estate & Homes For Sale - 0 Homes | Zillow

 

[Amerikan Melanin]

I’m also very interested in jumping in this year. Got about 25k I can use to get started. Going to start going to meetups next week. Looking for a mentor. I will keep y’all posted.

 

[DEAD7]

 

[UncleTomFord15]

 

[BaileyPark31]

Coli brehs, I need your help!
I got about 15k saved up & i want to start buying distressed properties in my old neighborhood (downtown Allentown, PA). The city is undergoing RAPID gentrification due to a special tax program called the Neighborhood Improvement Zone that basically lets developers utilize all the taxes collected within the zone to subsidize building costs as well as the rent to the tenants they attract. In the past 5 years over $1 BILLION of investment has poured into this 100 acre zone, dramatically driving up the rent for the city. In 08 you could rent a whole house for $700 and nobody wanted to pay that & now 2 br apartments are going for $1200 to start. However the area directly to the north of the zone is one of the worst in the state & has over 200 blighted properties. rents are going up & they just raised taxes for the 1st time in 12 years by 22% so I KNOW they are trying to get rid of the last citizens of the "old Allentown".I want to buy them & rent them out to Section 8 tenants since the govt will pay 75% of the rent I plan on charging ($1000-1200) which will pay for my mortgage+taxes+property management fees. Do you think it would be better to target these abandoned/blighted homes or would buying them via sheriff sales make more sense? Most homes sold for under 50k in 08 & are going for almost 2x that now.

Real Estate & Homes For Sale - 0 Homes | Zillow
Real Estate & Homes For Sale - 0 Homes | Zillow

Any updates on your real estate?

 

[South Paw]

I have 250-300k in equity in my home and wanna get into this. I'm surprised there's not more on this here. I need to do more homework first I feel. I know the market is skyhigh right now which is a lil scary

 

[Ahadi]

What’s your opinion on working with multiple agents?

I like my current agent, although she doesn’t put any effort to helping me select houses and I’m not sure if she’s putting in offers behind my back.

We also have no exclusivity agreement.

 

[.r.]

I have 250-300k in equity in my home and wanna get into this. I'm surprised there's not more on this here. I need to do more homework first I feel. I know the market is skyhigh right now which is a lil scary

Try researching these guys.

Spring EQ Home

I’m currently working with them on a investment property, my only issue is their slow as fukk, and need a lot of paperwork.

 

[.r.]

What’s your opinion on working with multiple agents?

I like my current agent, although she doesn’t put any effort to helping me select houses and I’m not sure if she’s putting in offers behind my back.

We also have no exclusivity agreement.

I say go for it, the better of the two will get your business.