Where to start

Question

Eric Baum · Answer

@Matthew Catanzariti

Welcome to BP and kudos to you for getting involved early and already thinking through future vision and goals.

Really solid advise from all these great posters.

What I will add - I got started in real estate earlier on as well.  And at that time a lot of people were talking about real estate, researching, thinking about different gurus.  What I decided to do is take action (which I think is the first step to the path of real estate and the one most miss).  My logic was I could keep researching, I could pay money for seminars, or I could take a small amount of dollars and buy my first property.  I looked for some on the smaller scale that seemed to make sense and told myself that even with that, it would be the worst property I will ever buy - but that I will learn so much from it and that would be the best education I could get.  Just buying a property and learning from experience as long as I kept the property exposure, risks, manageable for me.  As I was right, it turned out to be a decent property, but I learned so much by living it, and it made me far more educated and ready to go.  Almost 15 years later, I continue to think of that as my turning point.

So I think get your feet wet on a first property that you can learn a bit by fire (do all the analysis, leverage the great wisdom on this board to buy right, but don't be afraid to jump  in).  Duplexes sometimes can be a little tricky for your first property.  Sure you will probably get a higher yield, but you may experience more transient tenants and more turnover, tenants not liking each other, etc.  I think mulit-families are great and there are investors that prefer every different format, but SFHs I do find are good starters as you get to learn about landlording sometimes at a more manageable pace for a new investor.  If you want to start your own PM, the best way to get there is to be an investor first, start learning the ins and outs of property, typcial challenges, etc.  As you become an investor and start to have your own expectations and perceptions that wiill serve you well as a PM to understand how investors think.  PM is a tough business, snall margins, and you really need to have a solid system, process, and peopel to make it work.  But great PMs are in such need that if you can become one, the sky is the limit.  Understanding the investor mindset gives you a good start.

best of luck,

Eric

Christopher Winkler · Answer

Welcome and you are far ahead of your peers in wanting to start now. Good for you, I did not get involved with RE until my 50's. If only I had a wayback machine...

Paul Timmins · Answer

@Matthew Catanzariti

Welcome. Fill in the foundation below.

Check out the Start Here page http://www.biggerpockets.com/starthere

Check out BiggerPockets Ultimate Beginner's Guide - A fantastic free book that walks through many of the key topics of real estate investing.

Check out the free BiggerPockets Podcast - A weekly podcast with interviews and a ton of great advice. And you get the benefit of having over 80 past ones to catch up on.

Locate and attend 3 different local REIA club meetings great place to meet people gather resources and info. Here you will meet wholesalers who provide deals and rehabbers.

Two Great reads, I bought both J. Scott The Book on Flipping Houses,  The Book on Estimating ReHab Costs  http://www.biggerpockets.com/flippingbook

Consider checking out HUD homes for small multi's owner occupied gets first crack.

You might consider Niche or Specialized Housing like student housing. Rents can be 2-4 times more. Remember you don't have to own a property to control it.

Download BP’s newest book here some good due diligence in Chapter 10. Real Estate Rewind Starting over

http://www.biggerpockets.com/files/user/brandonatbp/file/real-estate-rewind-a-biggerpockets-community-book

Good Luck

Paul

Nate Garrett · Answer

Get your license. You're going to need it if you want to be a real estate professional.

Then start learning. It doesn't really matter which practice area you start in - brokerage, management, rehabbing, investing, appraising, etc. Whichever area you are most interested in. The biggest challenge will probably be burning out before you start making enough money, so you want to enjoy what you're doing while you're experiencing the growing pains.

Eventually you should have enough knowledge, capital, and connections to venture out on your own. You'll know when the time is right.

That's the way I did it. Certainly not the only way, but one way.

Best of luck!

Mike Hurney · Answer

@Matthew Catanzariti Welcome.

If you'd like to get into Property Management an Agent or Brokers license would be helpful.

I gentleman I know got his start by asking for a very small percentage per year for managing property in lieu of the ca$h fee.

Samuel Faulkner · Answer

Hello, I am also from MA and Just starting out in REI. I made my first post  about an hour ago in the new members section. I am more then ready then to start this up and get going. I wish you the best of luck and maybe one day we will cross paths!

Rob L. · Answer

Welcome @Matthew Catanzariti! Sounds like you already have a good nest egg going for your first property. I would house hack your first deal. Look for a good 3-4 family property that you can live in and rent out the other units. That's the best way to get into the market and should provide free housing for you as well so you can save more money and buy more properties.

Justin Murphy · Answer

Welcome to BP Matt!  You can never start to early.

Sihao Cao · Answer

Welcome to BP @Matthew Catanzariti . Similar to you, I am also a twenty-something looking to get into REI starting with a small multifamily. There are a ton to learn from this site. Hope to see you around!