Trying to start my first real estate investmnet
Investor · Atlanta · Member since 2023 · 1 post · 4 votes
Trying to start my first real estate investmnet
Most Popular Reply
Taylor DaschBusiness Member
Real Estate Agent · Temple, TX · Member since 2022 · 1k+ posts · 700 votesHey Jake, glad your getting started. I think the best way to find local wholesalers is to join your local FB investor page. So type in "Atlanta Real Estate Investor" in the group section of facebook and join all of them, wholesalers will use this to push their deals out if they do not have a buyer for it.
Also contact the agents and let them know you are ready to buy if any investment properties come across their desk.
Taylor Dasch | EG Realty560 Reviews
16 Replies
- 3yTaylor DaschBusiness MemberReal Estate Agent · Temple, TX · Member since 2022 · 1k+ posts · 700 votes
Hey Jake, glad your getting started. I think the best way to find local wholesalers is to join your local FB investor page. So type in "Atlanta Real Estate Investor" in the group section of facebook and join all of them, wholesalers will use this to push their deals out if they do not have a buyer for it.
Also contact the agents and let them know you are ready to buy if any investment properties come across their desk.
Taylor Dasch | EG Realty560 Reviews - Realtor · Atlanta · Member since 2018 · 126 posts · 81 votes3y
Hi Jake,
What exactly are you looking for in the Atlanta area? I can connect you with some quality wholesalers. If you'd like to discuss finding your first investment property in Atlanta, shoot me a DM.
- Real Estate Agent · Atlanta, GA · Member since 2022 · 4 posts · 1 vote3y
Hey Jake! I'm a licensed agent in Georgia and work specifically with investors and distressed properties. I'd love to connect and get you access to current inventory. :) Shoot me a DM!
- Developer · Decatur, GA · Member since 2011 · 1k+ posts · 1k+ votes3y
@Jake Turner. You're probably imagining wholesalers sell properties for less so you can make money, right? Think again. Most of the time, this is not the case.
I'd suggest you hook up with a reputable real estate agent (not an 'investor brokerage') and start evaluating opportunities with them --- pick an area of town and then narrow your agent to a few who have time for you. Additionally, scour Redfin and Zillow for deals. Remember, ask price doesn't mean sale price. Practice making offers.
Last but not least, I don't know many investors who don't pick up a few properties they find for themselves. These are, by far, the best. You might want to start on this effort.
Good luck!
- Lender · Pleasant View, TN · Member since 2023 · 25 posts · 9 votes3y
Hey Jake, I have some contacts in Atlanta that I could set you up with. Sending you a pm
- Specialist · Columbus, GA · Member since 2015 · 81 posts · 16 votes3y
@Jake Turner I get off market properties in Atlanta from time to time. I work mostly out of Columbus, GA and surrounding areas. Give me a shout if you need assistance with anything.
- Rental Property Investor · Columbus, OH · Member since 2017 · 3k+ posts · 3k+ votes3y
Hi Jake, welcome to BiggerPockets! This is surely the best place to start networking and learning. I always recommend the book “Rich dad, Poor dad” by Robert T. Kiyosaki to anyone starting out. Start listening to the BiggerPockets podcast starting at the very beginning. Start growing your network, look on Facebook/BiggerPockets for different events, find a mentor doing what you want to do, and get to know the local lenders/brokers. All the best to your real estate journey!
- Real Estate Agent · Atlanta, GA · Member since 2020 · 1k+ posts · 1k+ votes3y
@Jake Turner, if you're investing in the Atlanta market, I highly advise that your look into rent-by-the-room properties. The asset class assumes more risk, however, with the right systems and management in place can perform very well. If you'd like to discuss the strategy more or have any specific ATL market questions, feel free to reach me via cell or email (contact info is listed in my bio).
- Lender · 42 states · Member since 2022 · 27 posts · 5 votes3y
Quote from @Michael Dumler:
@Jake Turner, if you're investing in the Atlanta market, I highly advise that your look into rent-by-the-room properties. The asset class assumes more risk, however, with the right systems and management in place can perform very well. If you'd like to discuss the strategy more or have any specific ATL market questions, feel free to reach me via cell or email (contact info is listed in my bio).
While I agree that the boarding home model is typically more lucrative, these can be very difficult to finance unless there is a master lease with subleases. Just a little caution if you ever want to seek funding.
- Real Estate Agent · Atlanta, GA · Member since 2020 · 1k+ posts · 1k+ votes3y
@Kristin Fleming, the prospective buyer would not be acquiring the property tenant occupied, the home would be vacant upon closing. With this in mind, the investor would finance the deal traditionally via a conventional non-owner-occupied investment loan. Each tenant is on a separate lease.
- Lender · Nashville TN - Licensed in AL AR DC FL GA LA MD TN, TX and VA · Member since 2021 · 583 posts · 338 votes3y
@Jake Turner - as alluded to by several posts in here, getting your financing lined up before you spend a bunch of time trying searching for a property is a good idea. Partner with a lender so that you know what type of financing you can qualify for, what your different options are, and what you can expect in costs. Getting an idea of the monthly and upfront costs ahead of time will also help in calculating the viability of the numerous properties you will likely be looking at before you find the right one.
- Real Estate Agent · Boston, MA · Member since 2016 · 446 posts · 214 votes3y
@Jake Turner congrats on getting started! Have you considered what strategy that you're going to dive into first?
When I first learned about real estate, I wanted to do raw land development, flipping, rentals, etc. I didn't end up doing anything until I refined what I wanted to and would highly recommend narrowing your focus. When I started to do live-in flips in the Boston metro area, I started to build confidence. It's much easier when you have a strategy that you go deep on rather than surface level on a bunch of things. Good luck! - Investor · Cleveland · Member since 2021 · 247 posts · 240 votes3y
Not Atlanta specific, but I strongly recommend lining up your property management system before you start. If you're going to self manage, try to pre plan the process as much as possible so all you have to do is execute once you've closed on the property. If you're going to use a property manager, interview a few beforehand until you find someone you feel really good about.
When I bought my first property, I stuck with the in place management and they were terrible. We were hemorrhaging money for about 6 months before I finally got it together and fired them.
Same goes for any contract work you're planning on doing, if there's a renovation component.
I recently wrote an article on my blog that you might find interesting about choosing real estate investments. Here's a link. I'm also working on another post called "Lessons learned from buying my first rental" which I'll publish soon.
If you'd like to discuss anything further please reach out. Happy to help.
- 3yJared HottleBusiness MemberReal Estate Agent · Cedar falls IA Waterloo, IA · Member since 2020 · 902 posts · 549 votes
Not specific to Atlanta but you are going to want a bigger funnel than wholesalers alone. Get on their lists, meet with an investor minded agent and get on a drip, and drive for dollars and make calls yourself, go to local real estate meetups and network. Need a big funnel to get deals.
Jared Hottle Real Estate59 Reviews - 3yDrew SygitBusiness MemberProperty Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
Why does everyone want to chase strangers – and ignore their own personal network?
Per this NY Times article, the average American knows around 600 people.
https://www.nytimes.com/2013/02/19/science/the-average-american-knows-how-many-people.html#:~:text=The%20average%20American%20knows%20about,do%20you%20know%20named%20Kevin%3FPer the US Census Bureau, the average American moves 11.7 time in their life, which based upon an approximate lifespan of 84 years, works out to be about every 7 years.
https://www.census.gov/topics/population/migration/guidance/calculating-migration-expectancy.html#:~:text=Using%202007%20ACS%20data%2C%20it,one%20move%20per%20single%20yearSo, if the average American knows 600 people and they each move about every 7 years, that means that the average American knows around 85 people that move in any given year.
How many of those moves do you want to be involved in?
To maximize the number of transactions you’re involved in you will need to:
- Be Top of Mind when they think about moving - which requires consistent reminders.
- Be seen as an Expert – which requires a consistent message and Evidence of Success stories
- Gain their Trust – which requires communicating integrity
So, start out by listing everyone you know in an Excel spreadsheet.
Why Excel? Because later, you can easily use it as your mailing list! Create columns for Name, Street Address, City, State, Zip and then contact info: Last Contact, Relationship, Status, Email & Phone.
IMPORTANT: do NOT ask people for THEIR business, ask for referrals! Why? Because they will get defensive if they feel you are pressuring them. Remember, they can always refer themselves😊
Now, make it a goal to call at least 5-10 of these people EVERY day and ask a MAX OF THREE off the list below of who they know that:
- Just inherited a home
- Had a loved one pass away
- Is behind on their mortgage or tax payments
- Has a relative that can’t take care of their house anymore
- Has a house they’re having trouble selling
- Is facing bankruptcy
- Knows a probate attorney
- Knows a bankruptcy attorney
- etc
Why only three off the list per contact? Because on average, we can only remember three things at a time. If you try to go over the whole list, you’ll lose the attention of an average person and they won’t remember anything!
It should only take you about a month or two to contact everyone on your list and then the tough part – you start all over again.
Why the repetition? Because it takes repetition for people to remember things and you have to be top-of-mind when they encounter a potential client for you!
Have you ever been to McDonalds? Of course you have! So, why is McDonalds still spending billions on advertising?
One more tip – people remember stories that trigger their emotions. So, tell a story of how you (or a fellow wholesaler) helped a seller out with their challenge(s). Change your story each month as different stories will resonate with different people AND use each story to emphasize one of your “who do you know…” questions.
As you start closing deals, you will need to reinvest your profits into mailing lists and other scalable activities to grow your business.
One last thing – we recommended you create a Status column on your spreadsheet, now we’ll explain why. If you find someone that seems to know a lot of people needing your services, wouldn’t it make sense to focus more resources on them? Conversely, you will run into people on your list that just seem to be a waste of time, so you’ll want to avoid them. So, create status codes for both of these and a few in-between codes to help you work smarter, not harder.
Please send us any feedback via email, as we do not use the DM feature here.
Also, if you like our response, please don’t be shy about giving us a vote😊
Logical Property Management4.9451 Reviews - 3yWale LawalBusiness MemberReal Estate Broker · Houston | Dallas | Austin, TX · Member since 2018 · 5k+ posts · 2k+ votes
Here are Habits Of Successful Real Estate Investors
1. Make a Plan
Real estate investors must approach their activities as a business professional to establish and achieve short- and long-term goals. A business plan is a good idea to craft, as it also allows investors to visualize the big picture, which helps you maintain focus on the important goals rather than on any minor setbacks.
Real estate investing can be complicated and demanding, and a solid plan can keep investors organized and on task. The plan would include estimated outlays and inflows of cash from rentals, how many units to own, when to refurbish or upgrade units, demographic changes, and anything else that could impact your investment over time.
2. Know the Market
Effective real estate investors acquire an in-depth knowledge of their selected markets, such as narrowing in on a particular geographic region and focusing on residential vs. commercial properties. Keeping abreast of current trends, including any changes in consumer spending habits, mortgage rates, and the unemployment rate, to name a few, lets real estate investors acknowledge current conditions and plan for the future. This enables them to predict when trends may change, creating potential opportunities for the prepared investor.
3. Be Honest
Real estate investors are usually not obligated to uphold any particular pledge of ethics. Although it would be easy to take advantage of this situation, most successful real estate investors maintain high ethical standards. Since real estate investing involves people, an investor’s reputation is likely to be far-reaching. Effective real estate investors know it is better to be fair, rather than to see what they can get away with.
4. Develop a Niche
It is important for investors to develop a focus to gain the depth of knowledge essential to becoming successful. Taking the time to build this level of understanding of a specific area is integral to long-term success. Once a particular market is mastered, the investor can move on to additional areas using the same in-depth approach. Some niches might be high-end residential, low-income multi-unit housing, or rural farm rehabs.
5. Encourage Referrals
Referrals generate a sizable portion of a real estate investor’s business, so it is critical that investors treat others with respect. This includes business partners, associates, clients, renters, and anyone with whom the investor has a business relationship. Effective real estate investors pay attention to detail, listen and respond to complaints and concerns, and represent their business in a positive and professional manner. This builds the kind of reputation that makes others interested in working with those investors.
6. Stay Educated
As with any business, it is imperative to stay up to date with the laws, regulations, terminology, and trends that form the basis of the real estate investor’s business. Investors who fall behind risk not only losing momentum in their businesses, but also legal ramifications if laws are ignored or broken. Successful real estate investors stay educated and adapt to any regulatory changes or economic trends. Moreover, keep up on real estate, tax, and lending laws and regulations that could directly or indirectly impact your business.
7. Understand the Risks
Stock market investors are inundated with regular warnings regarding the inherent risks involved in investing and the potential for loss. Real estate investors, however, are more likely to see advertisements claiming just the opposite: that it is easy to make money in real estate. Prudent real estate investors understand the risks—not only in terms of real estate deals but also the legal implications involved—and adjust their businesses to reduce those risks.
8. Invest in an Accountant
Taxes comprise a significant portion of a real estate investor’s yearly expenses. Understanding current tax laws can be complicated and take time away from the business at hand.
Sharp real estate investors retain the services of a qualified, reputable accountant to handle the business’s books. The costs associated with the accountant can be negligible compared to the savings that a professional can bring to the business.
9. Find Help
Learning the real estate investing business is challenging for someone attempting to do things on their own. Effective real estate investors often attribute part of their success to others, whether it’s a mentor, lawyer, or supportive friend. Rather than risk time and money tackling a difficult problem alone, successful real estate investors know it is worth the additional costs (in terms of money and ego) to embrace other people’s expertise.
10. Build a Network
A professional network can provide important support and create opportunities for both new and experienced real estate investors. This type of group, composed of a well-chosen mentor, business partners, clients, or members of a nonprofit organization, allows investors to challenge and support one another. Because much of real estate investing relies on experiential learning, savvy real estate investors understand the importance of building a network.All the best!
NETWORTH BUILDERS5236 Reviews
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