I’m very new to this forum. This is my first post. I’m currently a broke law student who has decided to look at investment options. I’m pretty sure that I want to get into real estate and I like the idea of getting a HUD house - guaranteed most of the rent from the government
I’ve been looking at the HUD website (at www.hud.gov) and I’ve read several websites about the subject. I think I know what HUD investment is (aka section 8, housing choice vouchers - right?). I think I’m also familiar with the advantages and disadvantages of owning a HUD house.
So, here’s the first of my problem: I don’t have any money. Should I just wait until I graduate next year before I purchase my first home or do you guys recommend one of those programs that teaches you how you can buy a home with no money down or with bad credit?
By the way, how much more difficult it is succeed in HUD investing with bad credit?
Notwithanding the above, I’m trying to convince my mom to get into buying section 8 housing. FYI - I’m equating HUD to section 8 or housing choice vouchers. If it’s not the same thing, then please let me know. She has great credit (although she just bought her new house that she’s living in so that might affect her trying to buy another one) and she has some money that should be enough to at least make a down payment on a house. So, even if you think I should wait a year when I’ll have a full-time job, then please still help me because I’m also trying to do the research for my mom.
I can see this is going to be a long post and so I apologize in advance.
Realistically speaking, how much money would you say I should try and have before I seriously start to take a look at HUD investing?
Also, please don’t assume that since I’m a student, I should be able to figure this all out easily. Even looking through the HUD website seems a bit confusing. Real Estate Investing is completely foreign to me. But, the one consistent advice that is given is for us to start investing when we’re young and since I’m only young once, I want to start as soon as possible.
What would also really help me is if you guys could recommend a book or maybe a website where I can get some info on real estate investing “specifically for HUD investing.” I am very excited and I can’t wait to get started. I imagine the process looks something like this:
- do research and educate yourself about the subject (this is where I am)
- buy a home (get a good agent that is very familiar with HUD investing - prob. one that does it almost exclusively)
- fix the home up - it’s unlikely that you’re going to get a home in good working condition = so I’m guessing you need capital for this
- once you fix the house up, apply to make it a section 8 house
- get tenants and be a good landlord
- rinse and repeat
I’m sure I’ve skipped a lot of steps and each step have tons of intricate details within them. I’m just trying to get started.
Thanks for any help you guys can give.