What would you recommend to a new investor?
1. Find a teacher in your area that you can turn to for guidance. The most important thing is for those you go with, make sure they do what you want to do and talk to others successfully before committing to your time and / or money.
Real estate investment is not a single business. You need lawyers, chartered accountants (knowledge in real estate investment), contractors, subcontractors, real estate agents, property companies, closing lawyers, inspectors and appraisers. Look for someone who has gone through the quarry area in front of you and can give you a hand to save time and money.
Should I pay them for their time? Finally. If they are willing to share with you what they have learned over the years of their time and efforts, they have somehow paid for their skills and what you will gain from them. Worth paying for If you are not worth paying, they are not worth pursuing.
And not only reach their peers; reach them in a better position than you. Jim Rohan said, “Of the top 5 people you hang out with, you’re average.” If you want to be better in any field, follow someone better than you.
2. Join a peer group you know more than you. Everyone can go to meetings. For real estate investors, this usually means local REIA meetings (REIA meetings that you can find on NationalREIA.com). Also check out MeetUp.com and any local zamindar association meetings. Owners are already doing business and can be a great source of information as well as working with potential buyers and sellers.
3. Setting goals. Plan how many homes you want to buy in the next 12 months? How much do you want to be worth in 5 years? As you write your goals, include a strategy to accomplish them. Want to buy 10 homes in the next 12 months? Carve out parts of the work to see what to do each month to make these goals a reality.
4. Buy real estate. If you haven’t started yet, start! If you buy, buy more. If you don’t, 10 years have passed and you’ll curse yourself for not buying what you can buy today. Is actually a way of learning. Books and seminars are great, but you won’t know what you know and don’t know until you get in and start buying yourself.
It’s worn clichés, “There was no better time to buy real estate,” but that’s true. I think that’s always true. Sure, you should adjust your methods and strategies according to the economy and where you invest, but everyone works, stores, and lives somewhere. If you don’t own it, someone else will.
Get an education, hook up with a mentor, make a plan and buy real estate.
What can you add?
My name is Karen Rittenhouse and I have been investing in real estate full time since 2004. We currently buy about 60 homes a year, 80% of which we sell wholesale. Our current goal is to use this income to pay off all our assets.