Hi. I’ve been studying real estate investing for almost a year and feel that I’m pretty knowledgable on the basics now. I currently live in North Jersey, I’ve been at my company for over 8 years, own my own house, credit is about 750 and I have $40K to work with. I’m not looking to live off cash flow from the property, rather buy and hold for retirement/kid’s inheritance. I am completely committed to getting into REI but am having so much trouble finding something in my area that will break-even, let alone be cash flow positive. I guess in some areas $40K would be a decent amount of cash to start with, but here it’s very tough.
I went to college in Tampa and have a brother living there now, so I’ve even thought of starting down there…but then the absentee owner thing scares me! Does anyone out there have advice to share with someone in my situation? I feel like I have the knowledge, drive and commitment…maybe I just need to save more money???
I appreciate ANY guidance from you seasoned investors. Thanks a lot!
Putting more money down will not make a bad deal a good one. What properties are you looking at? Did you make offers that were rejected? I’m sure with your credit and startup money you should find something. I don’t know your area but perhaps there’s some multi-fams that need rehab or minor repairs. That can be a great source of instant & sweat equity. I’ve known people who have invested out of state who had a very good property management company taking care of the properties. I think you need to develop specific short & long term goals and a plan to achieve them. I don’t know your experience/ education level in REI. But defnitely invest your time to read books, RE courses ( I just bought the Carlton Sheets program on ebay for $40). A good book is " The Millionare Real Estate Investor" by Gary Keller. Good luck.
I’m in pretty much the same boat you are, almost to the T! What part of Jersey are you from? I live in the Morristown area. I am also just starting out, but am looking into wholesaling. If I come upon any suitable rental properties I’ll pass them on to you (shoot me a private message with your email), although in my area it would take a serious deal to be worth your while. You should join the GSREIA or the landlord club in your area, they would definitely be of some help to you.
Are you wanting to buy a rental property? If so I would recommend finding a property management company and they will handle all the paperwork - credit checks, repairs, renters calls, and even evictions