Week 1 of Learning Real Estate

[Hunter Boone]

To preface, I’m 24, I work in concrete paving and I’ve never bought a house. I have always rented.

My best friend, whom is also my best man for my wedding later this year, have been working on BRRRR. I've been talking to him for months about his strategies and helping him figure out different ways to rent it and basically make money. One thing that took me a while to realize was, I could do the same thing.

So I knew about the BRRRR and the Fix and Flip but I don’t have the capital to really dive into those. While on the phone with him, he mentioned wholesaling. Well, I spent the rest of the day learning what that was.

I’ve seen videos of it in TikTok and thought that was cool that they could make a few thousand dollars without having to own any property. The lists of questions started rolling in especially since I’ve never even bought a house for myself. What stood out to me was low capital required, and dedication and time is what seems to lead to success. 

The next two days I done tons of market research trying to learn my area. I started watching YouTube videos and listening to bigger pockets, which my friend referred to me. Listening to success stories and what people did for their first deal, practically anything I could learn. 

On day 4 I filed my LLC and am awaiting for all the paperwork to come back. Took me several hours to come up with a business name but I feel like everyone has that issue.

On the fifth day I realized that I don’t know anything about the contracts that go with wholesaling. So I watched some videos and read some forums and hope that I at least understand partially how the process works. (Find a seller, sign contract, find buyer, sign a different contract) That’s what got me, I didn’t realize I sign another contract to the buyer. I thought there was one contract the entire time. 

Day 6 I spent time looking at the market, and trying to reverse wholesale. I joined several Facebook group and messaged several people to see if they invest in my area and so far I got one response and they said No, they don't invest here. Which was a bummer, but on the bright side they said I could send them offers in other cities! Sounded like a win to me. I've found so many vacant properties just from d4d all day after work. I learned about prop wire and skip tracing. I want to jump into it but not sure if I should without being able to buy properties myself. If I back out of a deal do I just lose my earnest money? Do I need to wait for the formation of my LLC to finalize? Most likely I believe.

Day 7, decided to make my business plan so I have something to go off of. I tried to put as much as I was thinking on paper but hope it all makes sense to me later when I need to reference it. Now I am wondering if I could do BRRRR if I had a line of credit to pay for the rehab. I think some PML will pay you back for the rehab but I haven't spoken to any. I don't even know any actually. The market has so many properties that could be available with a small amount of effort. I'm guessing most have been vacated for years.

Any advice for week 2? If your new let me know, maybe we lean on one another. 

TLDR: I know nothing about REI but filed an LLC and gonna shoot my shot anyways.

Aim at nothing and you’ll hit nothing.