Newbie Starting Out

[THATREIGUY]

it actually only took about a week... im still trippin off how money basically came from thin air and into my pocket..... i literally learned how to pull money out of houses that arent mine.....      i tell ya its been crazy around my house in a great way.....

[JohnLydic]

what do they mean partner up??what do i have to offer right now??(no cash or credit)

You can offer full-time legwork, expertise and proficiency in locating, researching, evaluating and securing profitable investment properties.  You can offer a passive income opportunity to individuals who, otherwise, do not have the time and/or experience, but want to earn the higher-than-average return that real estate affords.  A partner puts up all the funds, and you do all the work.  Personally, I prefer land trusts to structure partnerships.  The catch is you need to convey credibility to secure a money partner.  Until you have the confidence to gain the trust of those with bigger pockets than yours, hit the streets and find a few more assignable deals.  Congrats on the first one!    

[Delondon]

Hey John whats up? Long time no see. 
How have things been going with ya.

[idhomebuyer]

That is impressive. Is this your first deal? 

it actually only took about a week... im still trippin off how money basically came from thin air and into my pocket..... i literally learned how to pull money out of houses that arent mine.....      i tell ya its been crazy around my house in a great way.....

[THATREIGUY]

yep my first one..... working on the second now..... this one is going to be around 2500 nothing big but still money in my pocket i got my fingers crossed that it will work.....   

[Shelterkid]

Wow thats awesome, let me ask you this...how much knowledge did you ACTUALLY have before taking action? i know like you said yourself that 80% comes from action and 20% is knowledge but what were your "qualifications" for lack of a better word? Just curious

[THATREIGUY]

not that much all i knew and know is find buyers,find out what they want,get them slightly lower than what they want for them,put under contract,then assign for my fee... ofcourse i know i few more tricks now that im actively moving in real estate and still is studying the cross roads that us investors have then find the solution for like exp.(double closes,selling my LLC...and curently right now im trying to partner with one of my buyers on a deal then deed my self off after closing for seansoning issues)

[lauraalamery]

I agree. If you are new in real estate, expecially in these economic times, find a mentor, someone that has experience in wholesaling, if that is what you want to do. It is easy to make costly mistakes (even if you don't have money, possible lawsuits are not fun.) Books are not going to give you all the possible answers.

[the700level]

Good work!  I'm just starting out myself, have a few questions for you:

1. What did you post in your craigslist ads to find these investor buyers?

2. How did you find this motivated seller?

3. For this deal, you got a purchase contract, and then just assigned it to one of your buyers correct?  So the money never actually came out of your pocket... It went from Buyer to you to seller?  How long did it take from agreeing with the seller to sell to agreeing with the buyer to buy?  Did you tell the seller you would need a couple days to find an assignee?

[ruukie]

it actually only took about a week... im still trippin off how money basically came from thin air and into my pocket..... i literally learned how to pull money out of houses that arent mine.....      i tell ya its been crazy around my house in a great way.....

My hat offs for you THATREIGUY!  As mentioned before by others, your story is truly an inspiring one for all of us, Newbies.  So i guess u've graduated to the next level from us...lol.

80% action and 20% knowledge huh, kudos to whoever came up with the phrase/idea, very well said. cheers for sharing ur story and knowledge, and to everybody else who are sharing their knowledge and experience as well!! 

[ClearwaterfloridaREI]

Congrats on your decision to get started in your new career.  I replied to a similar post about getting started just a few minutes ago.  I think you are wise to pursue wholesaling as your strategy to begin.  But don't overlook lease options, either.  They are low risk, require minimal cash out of pocket, and are a heck of a lot easier to get the homeowner to agree to in my experience.  Good luck.

Sorry if this is a dumb question but I was wondering what would be in harm in knowing how to do BOTH, (Lease options and wholesaling)? I guess it comes down to cash or cashflow.

[idhomebuyer]

From what I understand, there's no harm in doing either. One you can continue getting anywhere from $1000 to $5000 for every new lease option deal (RTO tenant) you get, in addition to a little from their monthly payment. And for some reason they default on the contract, you getta make that kinda money all over again with a new person.

Wholesaling -> You can make whatever (within reason) for each deal you sell to an end buyer. If you can do both, that's great. It's finding homeowners who are up to accepting a lease uption in the 1st place. After that, it's pretty much icing on the cake.

Congrats on your decision to get started in your new career.  I replied to a similar post about getting started just a few minutes ago.  I think you are wise to pursue wholesaling as your strategy to begin.  But don't overlook lease options, either.  They are low risk, require minimal cash out of pocket, and are a heck of a lot easier to get the homeowner to agree to in my experience.  Good luck.

Sorry if this is a dumb question but I was wondering what would be in harm in knowing how to do BOTH, (Lease options and wholesaling)? I guess it comes down to cash or cashflow.

[Charlie Ozeta]

k

[Mz.B]

Congrats on your decision to get started in your new career.  I replied to a similar post about getting started just a few minutes ago.  I think you are wise to pursue wholesaling as your strategy to begin.  But don't overlook lease options, either.  They are low risk, require minimal cash out of pocket, and are a heck of a lot easier to get the homeowner to agree to in my experience.  Good luck.

Sorry if this is a dumb question but I was wondering what would be in harm in knowing how to do BOTH, (Lease options and wholesaling)? I guess it comes down to cash or cashflow.

Hi ClearwaterfloridaREI,
I think it's great to know how to do BOTH lease options and wholesaling, one would benefit greatly by having the skill to do both.  This becomes esp. important depending on what type of marketing you choose.  As you get your marketing going, some deals will work as lease options, some for wholesaling, etc.  However, I will say that what worked for me was to start by picking a focus.  I chose wholesaling.  It was overwhelming trying to do all of the approaches starting out and unforatunately that happens to lots of newbies.  I would recommend starting out by picking one approach, do 1 or 2 deals, then add new approaches.

[parklandgroupohio]

It is a great idea to go into real estate as this could offer lots of business possibilities and opportunities. For example, if you have enough capital or investors, you can develop said property and put up something that is sure to earn long term. Something that offers rental space like office spaces or a Hilliard self storage facility. something that will earn for the long-term.