Was this a right first move?

Question

Hi, I am just starting as a real estate investor. I'm an introvert, but I'm trying to begin to open up and network. One of the first moves I made was I matched with a real estate agent through BiggerPockets. Was that a good first move, or should I have done something else?

Nathan Gesner · Answer

I recommend you start by educating yourself on how to find and fund a good investment, then network with other investors to start building relationships, shifting mindset, observing, listening, learning. Go to NETWORK at the top of your screen and you can search for other investors and investment groups in your area. You can also check meetup.com or search facebook for real estate investment groups, clubs, or meetings in your area.1. Start with BiggerPockets Ultimate Beginners Guide (free). It will familiarize you with the basic terminology and benefits. Then you can read a more in-depth book like The Book On Rental Property Investing by Brandon Turner or The Unofficial Guide to Real Estate Investing by Spencer Strauss. 2. Get your finances in order. Get rid of debt, build a budget, and save. The idea that you can build wealth without putting any money into it is a recipe for disaster and the sales pitch of gurus trying to steal your money. A wise investor will not try to get rich quick with shortcuts. If you can't keep control of your personal finances, you are highly unlikely to succeed in real estate investing. Check out my personal favorite, Set For Life by Scott Trench , or The Total Money Makeover by Dave Ramsey. 3. As you read these books, watch the BiggerPockets podcasts. This will clarify and reinforce what you are reading. You can hear real-world examples of how others have built their investment portfolio and (hopefully) learn to avoid their mistakes. 4. Now you need to figure out how to find deals and pay for them. Again, the BiggerPockets store has some books for this or you can learn by watching podcasts, reading blogs, and interacting on the forum. There is a handy search bar in the upper right that makes it easy to find previous discussions, blogs, podcasts, and other resources. BiggerPockets also has a calculator you can use to analyze deals and I highly recommend you start this as soon as possible, even if you are not ready to buy. If you consistently analyze properties, it will be much easier to recognize a good deal when it shows up. Find Brandon's videos on YouTube for the "four square" method of analyzing homes and practice. It doesn't take long to learn how to spot a good deal.5. Study the market. You can learn to do this on your own or get a rockstar REALTOR to lead the way. I highly recommend a well-qualified REALTOR that works with investors and knows how to best help you. 6. Jump in! Far too many get stuck in the "paralysis by analysis" stage, thinking they just don't know enough to get started. The truth is, you could read 100 books and still not know enough because certain things need to be learned through trial-and-error. You don't need to know everything to get started; you just need a foundation to build on and the rest will come through experience and then refining your education. You can build a basic understanding of investing in 3-6 months. How long it takes to be financially ready is different for everyone. Once you're ready, create a goal (e.g. "I will buy at least one single-family home, duplex, triplex, or fourplex before the end of 2019") and then do it. Real estate investing is a pretty forgiving world and the average person can still make money even with some pretty big mistakes.

Patrick Drury · Answer

@Joshua CartagenaThat's perfectly fine assuming they are a good agent. You should still attend local meetups or join a local REIA near you so you can meet in person with local investors and network with them.

Joshua Cartagena · Answer

Melanie Thomas · Answer

Not a bad first move. I would be a sponge and soak up as much as you can. Get involved with local NARPM chapter, attend investor meetings etc. You would be surprised at how many deals fall in your lap when hanging around like minded individuals. Good luck, happy investing!

Mohammed Rahman · Answer

Hey @Joshua Cartagena - not a bad move at all, but depending on the agent they may not be super excited to talk to someone that's not actively on the hunt for a deal. I also recommend reading real estate books, BiggerPockets has a handful of them you can check out.

Alfath Ahmed · Answer

That is the first step. However, I would make sure that he is a good agent and understands your investing goals. Are you looking to invest in the NYC market. I would definitely take a look at the mid-west if you are a first-time investor.

Joshua Cartagena · Answer

@Patrick Drury Thank you, I'm going to check those out.

Joshua Cartagena · Answer

@Mohammed Rahman Thank you!