Please Help

As many of the posts I have read I need help getting started or some general direction. I am 22 and I have been reading the posts for quite a while now almost all of them actually and have purchased Carleton Sheets No Down Payment course, however it does me no good for now. I need to have some assets or good credit for the types of investing in his course. I am almost overwhelmed with information . I am very interested wholesale, but I am confused do I need credit for this? My credit is beyond repair with my 9 to 5 and I am check to check, but I do not wish to file BK, should I? I want to get started on whatever I can as soon as I can. As I understand wholesale so far I need to get a buyers list and search for property at or below 70% FMV for them to sell. When I do find property what do I do approach the seller make a bid? If he accepts do I just give him the assignable contract? What then? How long do I have to sell? If I cannot sell it am I stuck with the property or is there a way out? Can I even do this with bad credit? If not is there another way? I have read a little about option to purchase contracts how are they different from wholesaling? What would be best in my situation? I have too much enthusiasm and excitement just thinking about doing this. I am highly motivated I just don’t know how to get started. Im sure youve read these kinds of posts a thousand times but any guidence would be awesome.

Terrible credit at 22? WOW. The very first thing you need to do is get a second job and pay off your creditors. Fix your credit first, then think about investing.

Good Luck,


I agree with Mike, it has taken me a while but my credit is finally up int the mid 600’s and that means I can finally start toward my investing. It is possible to start with bad credit or at least that is what I have read but sooner or later you are going to need to get those bills paid and get your credit backup to the Fico’s you need. Might as well start now.


I know I need to fix my credit :frowning: Thats no an awnser to any of my questions, but thank you for replying anyway.

I would like to know what options I have in investing, while improving my credit score. Plus the awnsers to my first questions.
Thank you


You got the true answer to your question, although I know it wasn’t the answer you wanted. You would have a better chance of buying mega lotto tickets and hitting the jackpot, than starting a successful REI business when you have no money and terrible credit.

What could you do in REI? You could become a birddog and find deals for other investors, who would pay you for giving them leads. I don’t know of a single person who has ever made a career of being a birddog, nor do I personally know of anyone who has ever made any real money doing so.

You could also wholesale properties, but to do so without the ability to close is unethical and immoral and no legitimate person would do this. There is a lot of hype about wholesaleing because it targets people with no money and no credit. You can make money with wholesaling, but it isn’t nearly as profitable as the gurus would have you believe, especially in a down market.

Good Luck,


The most important thing for a young man is to establish credit- a reputation and character. – John D. Rockefeller

Whether you’re old or young, man or woman, the principle of this quote mean the first place to start is to “establish credit”.

Well I feel the need to plea my case. I started out good graduated high school and joined the Navy. I started a line of credit with a jeweler and went from a $200 line of credit to a $9000 line of credit. I bought a truck with 8% financing which is pretty good for a first time buyer. I had a fairly high payment but with no other debt I was able to afford it. After my first tour of Iraq I came home and married and had a little girl. Things went down hill fast I found the cheapest apartment I could but with a family and my truck payment the income didn’t cover my basic living expenses first went the cable then the phone then luckily my lease was up and I moved in with family. But my truck payment was so far gone I couldn’t keep it so now I have a repo plus the insurance cable phone and electric bill went to collections. From there I got out of the Navy and got a good job making decent money found a new apartment. I then had another daughter and was doing good, but after having the job for a year I was laid off. So we decided to move to Colorado and give it a shot. I am making good money out here but I don’t see a way to get out of bad debt any time soon my daughters would both graduate high school and be in college before it would be possible the way things are going. I just need a good investment so 5 to 10 years down the road I’m not living check to check. I am not trying to get rich quick, I’m looking long term but how with poopy circumstances.
Sorry I am whinning.

I have been reading up an getting hard money loans could I use that to close if needed? Maybe get pre approved before sighning a contract? I am not looking to make $20,000 in profit I can be comfortable making anything over $500. Enough to save enought to get my credit built up faster than seven years for each bad mark.


Thank you for your service in Iraq. We all sincerely owe you a debt of gratitude.

Your credit should only be adversely affected for 7 years max, not 7 years for each bad mark. Your credit score is a measure of financial trustworthiness. Can you find a hard money lender to loan money to you? I don’t know. More and more of them are looking at credit reports. Work on your credit. Maybe you could get a part time job working for a successful real estate investor and have him take you under his wing. Regardless of what you choose, it will be a lot of work starting from so deep in the hole.

Good Luck,


Perhaps if we can show this person how to make some money without initial credit or money, he/she can pay off some bills and establish better credit, then explore some other avenues!! The one way to make some money, without credit or cash…

Line up some buyers nationwide that gobble up houses with low LTV’s (Some buy at as high as 80% of the home’s true value, if the deal is solid). They can close fast, which pleases the homeowner. Then, find a property where the homeowner or builder needs to exit fast (financial reasons, divorce, relocation, inherited property). Then play matchmaker and establish a fee that still makes the numbers work for both parties.

ie: If the seller has a home worth $500,000 and only wants $375,000 for a quick close, and you have a buyer that will buy that home at $400,000, you have a deal!!. There’s $25,000 in there for your finder’s fee.

Just be sure to get a marketing agreement in place with the Seller that if you bring a buyer willing to pay over $375k, they will pay you a $25k finders fee OR Align with the buyer that you will get $5,000 for any deal you find for them at the numbers they need, plus a bonus for equity exceeding their profile.

And Warning–there are a lot of snakes out there, so make sure you don’t release the name and property info until the agreement is in writing with the buyer and seller. There are a lot of people pretending to be buyers that just want your “finds” so they can pass off to other buyers.

Good Luck.

Just be sure to get a marketing agreement in place with the Seller that if you bring a buyer willing to pay over $375k, they will pay you a $25k finders fee

That sounds dangerously close to being an unlicensed real estate broker which is ILLEGAL!

I wouldn’t do that.


:cool hey gatorgirl sounds like you are talking about a birddog kind of thing ?? I have talked with this person via emails and have tryed to get him set up on this kind of a deal to get his feet in the door and going but when i told him it was going to cost him a small fee for some stuff to get him going >>> he said okay and then never fllowed through !! YOU need follow through to get things done >> and nothing is free not even freedom

First, thank you for your service to our Great country
Second, there is no whining in baseball

Okay, now to be serious.
How much debt do you have? I know it seems like forever, but nothing bad lasts that long. You will have to repair your credit. If you file bankruptcy, it will hurt you for at least 2 years. It will stay on your credit report for 7 or 10 years, I forget which.

You must take things one step at a time. You cannot run a marathon on your first day of training.

Everyone doesn’t know what its like not to have any $ (not even for a fee)and just need a chance. Its as if you are in a whirlwind, raises don’t come fast enuf to make an impact. Just keep plugging away at those bills. I’ve raised my credit score to 650, and I’m not stopping there. Gatorgirl gave you good info. read it step by step and follow. Ask, if more questions.

Serving the country, providing for your family, living paycheck to paycheck, having to deal with bad credit. I’m sure your everyday life seems cloudy or raining. But never give up, keep searching for a solution because there are many. To answer you question and give you hope. Here is what you need to do. Join your local real estate club, network with other investors,
find out what they like to invest in and go out and find it. Many investors have money but not the time to find great deals. That will be your job, finding great deals. Find and work with only motivated sellers, who will sell at a discount (30 to 40%). Negotiate a great deal with seller, write contract. Make sure that you can assign the contract, with subject to partner’s approval, subject to clear title, subject to inspection, etc. If you don’t know how to write a option to purchase contract. Either get Pre-Paid legal (cost about $25 a month) or ask local investors in your local club for help.
Once you have a contract with a motivated seller, announce it to your local real estate club members include your finder fee in your asking price (be reasonable don’t get greedy). If is hope, you don’t need good credit or lots to cash to wholesale properties and it’s not legal. You’re just a buyer who flips real estate to other buyers. Save money you earn, build you credit, then you can buy and hold real estate. For now buy and sell contracts. Best Wishes. If you have the drive, then you can win.

:cool hey any one find it a bit strange this guy was responding back to all the replys and now seams to have gone out of sight ??? my son as well went to irac two times and is now a recureter for the marines so i understand the good job for the country but wonder where this guy has gone