Hey I am young and want to get into the business, but have NO idea where to start, Can anyone instruct me about where I should start… Like most 18 year olds, I do not have much cash but I am starting to build my credit by being extremely responsible with my credit cards. I also don’t know how exactly people get into the business, do they do it by a mortgage or is it usually all cash? I hear ads all the time for “No money down, pave your way to success” This sounds awesome sense I have no money to put down lol. Can anyone recommend a course to get? Free would be nice but I bet there is no good free courses out there.
Check your local investing groups, a lot of them have it set up so that your first meeting is free. Once there, network, see if any of the investors are willing to take you under thier wing. That way you learn, you earn and the investor can give you the annoying leg work. Any true investor would not be worried about competition because there is no way they can corner the market. Or, you can get educated first and then try to start out on your own. Check your local library, see if they have the books by the major players (Carlton Sheets, Ron LeGrand, etc.)
Hey thanks guys! I was looking through the paper and found a “I buy your house… you stay in it” ad… I was wondering how they work? I am pretty sure that what he does is pay off the’re mortgages, and then charges rent… this seems pretty cool, and if I could make it so that I could buy a house, and charge rent higher then the mortgage, and taxes, even if is just like $100-$200 more… I’d be doing really well! I am going to the book store to check out there REI books, and see if there are any good ones… there are thousands on amazon lol
A few people in my family have good credit, and a few don’t… I would be able to piggy-back but I will have to think about it… I don’t think they would like me piggy backing on there credit buying houses left and right… They are into the “Work your ass off all your life and retire with little to nothing” I’d rather retire with a comfortable amount of money in the bank, and retire early… so if I start at 19 maybe I’ll be able to go “full time” before I am 30, and “retire” at around 40… 20 years I should be able to build up a lot of net worth and hopefully some excellent cash flow. But these aren’t goals set in stone… just wishful thinking I guess. ;D
watching your credit cards and paying them down is great! The next thing lenders want to see is 12 months of rent payments on time. paying rent is a big part of it. Do you know what your FICO (credit score is?) There are numerous “first time buyer” loans out there. Are you employed? Working at a job for 1 year is also important. Shows stability to the lender. You could purchase an investment property for 100%LTV then if the seller would contribute 3-6% for closing you wouldn’t have to come up with much money at all. You could even look for a property with seller financing.
good luck
Cynthia
Some great advise, I would like to add to, you must get educated, build your foundation first and do it right, go to local investment clubs to get to know the “players” in you area and ask a lot of questions. If your looking for good books and courses I suggest on the “Rich Dad Poor Dad” series, they are for begginers, and then you can move on to the tech. products like Carlton Sheets and many others. I also suggest to you do a lot of online searching for info and discussion forums like this one. And most of all NEVER GIVE UP!
no dumb questions here…piggy back is your second loan with your mortgage. Usually, you get a loan with a first (80%) and a second …piggy back…(20%). The first and second is so you won’t have to pay mortgage insurance. That’s not to say there aren’t 90-95% (1)loans out there with no mortgage insurance but normally the first is 80% of the purchase price…piggy back is your second.
hope I haven’t confused you more.
Cynthia
Piggyback actually can mean anything. The post regarding “piggyback” (2nd post) actually is referring to partnering up with family or someone you know. You have to read the whole sentence to get the meaning.
Piggyback loans are also known as 2nd mortgages, 2nd liens, or seller carrybacks (same thing as a seller 2nd or seller 2nd mortgage, etc).
My advice to anyone who wants to get started is to READ. Read a lot and read it again…and read it again. Like any venture, many people who are unprepared quit within their first year. I’d prefer to help people who are in Texas since I travel through the main cities a lot (DFW, Houston, Austin, Corpus Christi and San Antonio).