Need help just starting out

[Michael Hernandez]

I’ve been out of a job for 3 months and with my girlfriend just losing her job we’re both ready to jump into real estate. I’ve always been wanting to jump into it but never have, and now I’m starting to take this serious and chase it. 

I found a on market property selling for 102,950 3 beds 1 bath 972sqft when I run comps I’m only looking for houses that have been renovated to see what it’s selling at. 

Comp 1 is at 179,100 3 beds 2 baths 1376 

Comp 2  is at 139,000 3 beds 1 bath 1347sqft

Comp 3 is at 127,900 3 beds 2 baths 1298sqft
  once I run comps I add up the prices of the houses and divide it by 3 to give me an average number of 148,666 and am using 60,000 for renovations all in at 208,666 and 70 percent of that is 146,066 and that is the lowest I can go to purchase the property? Any help would be very appreciated 

[Eric Greenberg]

First thing I see is a 972sqft home is most likely not going to comp around ~1300sqft if all other aspects are similar. Thats around 30% more sqft than the property you are looking at. It may be better to find the  $/sqft and utilize that or reduce your numbers by sqft delta %  

Is your $60k rehab budget correct? If so and those other numbers are realistic for selling prices for your rehabbed home, having ~$210k in the property would be much too high. 

[Nathan Gesner]

Quote from @Michael Hernandez:

Question: how are you going to purchase a property when you have no income? I assume you have some money but will need to borrow the rest. Have you spoken to a lender to see what you qualify for?

[Michael Hernandez]

[Michael Hernandez]

Quote from @Nathan Gesner:

Quote from @Michael Hernandez:

Question: how are you going to purchase a property when you have no income? I assume you have some money but will need to borrow the rest. Have you spoken to a lender to see what you qualify for?

So I haven’t yet I have a few connections with some investors so I’m starting there with a private money loan and using the rest with a hard money loan

[Nathan Gesner]

Quote from @Michael Hernandez:

The investing "gurus" will push investing with low or no money down, but I think it's terrible advice. You will be over-leveraged and far more likely to fail. I only advocate for hard money loans if you have the income available to pay them off in a short period of time, usually less than a year.

[Michael Hernandez]

Quote from @Nathan Gesner:

Quote from @Michael Hernandez:

The investing "gurus" will push investing with low or no money down, but I think it's terrible advice. You will be over-leveraged and far more likely to fail. I only advocate for hard money loans if you have the income available to pay them off in a short period of time, usually less than a year.

 Would it be best if I started out wholesaling? I have no type or income as of right now to pay back that loan 

[Justin Winn]

If you’re here in El Paso and so is your property I’d be happy to meet with you some time. My wife and I are in the middle of a renovation right now. We’d be happy to share some tips on what to look for and even help you look for properties, she is a local real estate agent and we’re always looking for new connections in the area.

[Michael Hernandez]

Quote from @Justin Winn:

If you’re here in El Paso and so is your property I’d be happy to meet with you some time. My wife and I are in the middle of a renovation right now. We’d be happy to share some tips on what to look for and even help you look for properties, she is a local real estate agent and we’re always looking for new connections in the area.

Hey Justin yeah of course that sounds great I’ll inbox you so we can talk more.