Please help guide me in the right direction. Trying to build capital of course.

Hello, my name is Jakawan, I’m 22 years old. I work at a prison, making $13 an hour. I just recently got my tonsils taken out 3 days ago, which cost $12,000. Insurance paid $9100. But I’m still $2900 in debt. But it’s no interest and like $80 per month. But I’m also moving in a month, and I only have $2000 saved up.

It would really be a life saver and stress reliever if I could wholesale a house and have a little more money to sit on and be debt free again.

I have no experience with real estate at all. I sell stuff on eBay. I read a few books like flipping houses for dummies, flip and grow rich, and working on the ultimate sales machine. Ordered a few more books.

I would like some advice on what to do with my life this year. Here is a few options:

  1. Go to college for General Business Administration with a minor in real estate and be $30,000 in debt out of college. But I can build my credit up over the next 4 years and have credit to do deals with after college, correct?

  2. Take a one and a half week real estate course on May 16th for $200 and become a real estate agent to learn how real estate works and how to sell real estate the right way. And just work for a company like Century 21 as a real estate agent. Part time through college or full time and not go to college?

  3. I have an old friend who is retiring and is moving soon and said he’d be willing to sell me his house for $10,000 but it needs lots of work. Wood is rotted out on the porch and has duct work but needs new central air unit, needs new tile, a little roof work etc. Could I wholesale this for $15,000 to $20,000?

Or there is another house I was looking at for $10,000. Should I try to buy it and wholesale it, or buy it and rent it out and pay a mortgage and re-invest the money I receive over? I believe I can rent it out for $450 a month after putting a little money in it.

Any other options, suggestions, or advice would be very appreciated.

The best option is to wholesale your friends house. Also see if you can get a cheaper price, then rinse and repeat. The best thing you can is build a hungry buyers list for FREE with by taking down numbers on bandit signs, classified ads, and going to REIA meetings to network. This is just a starting tip be creative and things of other ways to get buyers!

I think that the fact you have a few deals lined up right now is amazing. I would mos def. try to wholesale your friends house. have you looked to see what properties have sold in that area and for how much? Run some comps and see what you have on your hands. :bobble

I had a realtor help me look at and see what the house was bought for. It was bought for $30,000 several years ago. And houses around the area sold for about the same. So I’m thinking I can get it for $10,000 and the realtor said he could help me sell it for $20,000. Sounds like a good start eh!

Don’t count out that last house as a rental either (if that’s what you want to do). Even if you have to put a few thousand into it, $450/mo isn’t bad money on that price of house. I do those deals all day long.

$10K on your first deal sounds lovely! I hope you get it.

Well I called the guy, and he said he’d be willing to take $10,000, I’m gonna see if he’ll take a little less to help pay for closing costs.

Can someone please tell me what to do?

  1. Get a loan for it at 5% and make minimum payments on it and rent it out to someone.

  2. Get a short-term loan on it at 6% and buy it for $9000 and resell it for $15,000.

  3. Get it under contract and sell it to someone else for $15,000 and keep the margin ~$3000?

  4. Other ideas?

Have you had a repair estimate?