I really want to start investing in real estate! I mean like yesterday! I am an accountant at a medium size firm in NY with one year of experience. 85% of the clients I am involved with are in real estate. All types: Developmenting, purchasing and selling in both commercial and residential! I have seen a lot in one year. I have worked on a deal where the client purchased a NYC building for 30 Million to a client purchasing a building for 300,000 in Virginia. I know how the entities are structured, how they deals are made, how they are manage, how they take money out of property, what are their major expenses and I am learning more everyday.
and with the help of this forum (the best I have seen so far) I want to start investing myself.
Here is my problem. I have no funds! Depsite popular belief, lower level accounts do not make that much money. I can barely pay my rent and student loans which is $100k (ouch!)
Can I really purchase my first real estate with no money down? What about 100% financing? Even the closing cost will be difficult for me, but I read that they can “wrap” the closing cost in the loan. Is that true?
What do you guys suggest? I would really appreciate your input!
You said, "Also you can takeover distress owners property and get them to pay for taking away their problems. "
I assume you have done that in that past. Can you give an example of how that would work?
According to the professionals we dont need money but Im having a hard time making that process work. In fact I havent been able to work with out funds.I think it is only a myth.Unless your like my friend who is a realestate agent married to a mortgage broker with a brother who is a contractor and a son that is a realestate lawyer and a sister in law who works at the county court house and a nephew who is the local banker.
Cambell and TopNotch,
100% financed NOO properties are not a myth. The lenders that I use will finance 100% in the form of an 80/20 all day long with a minimum FICO score of 660. The only issue my company has is that the operating income needs to be 25% higher than the payment. For example if the combined PITI is $750, then the house needs to be rented for at least $1000. There are plenty of wholesalers out there who will sell you a property at 80-90% of value, which helps put more money in your pocket. You can roll in 3% towards closing costs and if you close on the first of the month, you will be entitled to that months rent to help with the other closing costs. The hardest part is for you to find a property and make the offer. Message me if you need help with the process.