I am currently in Texas and have no extra money to spend to start my real estate investing business and my credit is just horrible to say the least. Does anyone know what would be the best way to get started in real estate investing? I’m not looking to break the bank currently, but I am looking to start making a decent profit until I can build enough wealth to start doing more advanced investing. Thanks for any help anyone can provide!
Generally, the best way to begin is either with lease options, birddogging, or wholesaling.
Or you can partner, but should choose carefully. If you see someone who is successful, some people ask to shadow or mentor with them.
The unpopular truth is that it is VERY difficult to become a real estate investor if you truly have no money and no credit. It is certainly true that you can buy property with no money and no credit - that is the easy part, although most deals are not no money deals. But how to you rehab or hold the deal if you don’t have money or credit?
My suggestion would be to work like a dog to get some money and fix your credit. There are 24 hours in a day. That’s plenty of time to work a full time job AND work full time in REI, and still get a little sleep. That may well be the price of admission for you.
Good Luck,
Mike
There are 24 hours in a day. That’s plenty of time to work a full time job AND work full time in REI, and still get a little sleep.
Addendum: If you have no children and/or are single. Each spouse and/or child decreases your free time exponentially (not linearly).
;D
I have the same problem and starting in 2007 I am going to birddog a few houses to try and get some money going for a 20% down on a deal. I whole heartedly believe it will take me all of 2007 to get my finances in order but it is worth it. I have already found a few rentals for dirt cheap 25k so I am trying to talk the owner into a lease option for 18 months. Best of luck to you.
Benjie
bird dogging, assigning contracts to start. if u feel daring u can so subject 2. what part of texas are u in?
1st thing goodluck workhard to educate yourself. We purchased our 1st property in august aboutto flipit. their are programs out there to help u keep searching all the web sites for free advice.also look past the posts for verygood websites with help.
Wholesaling: you can create a buyers list if you know how to find good deals and just assign them off to other investors after you find them. Although deals must truly be good.
Thanks to everyone for their input. I’ll certainly take it all under consideration. Tony, I currently live in Abilene, TX but I want to move to a bigger city like Dallas or San Antonio in the next year or two. I don’t know about anyone else when you started out, but I feel overwhelmed at times with all of the information floating around. I know there are tons of programs, seminars, books, websites, etc. out there with ways to get started in REI and you don’t know who to listen to. I just want to thank everyone on here for their honest opinons.
you can never stop learning. Just keep plugging away and learn from others experiences.
I LIVE IN DALLAS AND I AM GOING THROUGH THE SAME SITUATION YOUR GOING THROUGH RIGHT NOW HOUSEBUYER. I HAVE HORRIBLE CREDIT AND NO MONEY SET TO THE SIDE AS WELL SO I AM CURRENTLY WORKING ON IMPROVING MY CREDIT TO AT LEAST MAKE IT LOOK DESCENT SO I CAN GET STARTED IN MY INVESTING CAREER. ALSO IN THE MEAN TIME WHILE I AM WORKING ON MY CREDIT I AM GOING TO DO SOME BIRD DOGGING FOR SOME EXTRA CASH AND MORE KNOWLEDGE.
HOPE FOR THE BEST FOR YOU.
There are a lot of things that you can do around the real estate business without cash and credit. Real Estate is no better than any other investment except for leverage (credit) The life blood of real estate is credit. If you want to play you need to prepare the tools that are common to the game. Doing real estate without credit of cash is like playing football without a helment. You really can’t do it. You can do a lot of things on the field like referree, or coach, or down box or chains. These things are really needed for the game, but you can’t play without all the tools. Real estat is no different. If you want to play the game, get the tools.
A large number of noobs start with no cash bad credit and a will to learn and succeed. Thats all you need. go out and find a deal with equity and post the info on the re boards for opinions from seasoned investors.
Find motivated sellers and you will find the deals. Selling a good deal (by whatever method) is the easy part.
Good luck,
lance
realvestors
I am doing it with no money and no credit of my own at the moment. Follow my investing adventures and learn from my mistakes on my blog…