19 Year old investor searching for financial independence

[Austin Adee]

Hello members of BP,

(Skip to Bold to get straight to questions, The following is my story thus far.)

All my life i've been told two things get a solid job and be content. My name is Austin. I'm 19 years old and I know that I want more from life than what my parents have. Living off the government or living from paycheck to paycheck is not for me.

Once I got out of highschool I knew that the job world was fast approaching, so I decided to pick a career that would earn me a good sum of money. So I began looking into becoming a nurse. I did much research as I normally do, and came to find that not only would i have to accumulate a huge sum of debt over many years of schooling, I would also work many long days spending little time with friends, family, and traveling. Once again this was not for me.

Upon researching I somehow stumbled upon a youtube channel called Fight Mediocrity, This channel showed me the possibility of financial independence. I was so excited. I honestly couldn't even grasp the idea at first. This channel recommended me two books, The Richest man in Babylon, and Rich Dad Poor Dad. I bought both and read them shortly after. Rich dad showed me I didn't need A college education to become wealthy, and Babylon Reinforced my ideas about saving. That's when I became involved in the stock market. following Warren Buffett's model of long term holdings and dividend investing.

At this point I am working two jobs, around 45 hours a week, to generate some capital for myself. I am also enrolled At CCC because I couldn't pass up the wonderful opportunity of the Oregon Promise which is paying me to go to school.

25% of my checks go to the stock market, 25% Goes straight to my savings account,  and the other 50% is used for Bills, food, and fun when I can find time. So far I've built my portfolio and savings to about 8,000 combined. And that's where I am now. I've looked into real estate and it seems like A great move, It seems that it could be far more profitable than the stocks if done right. I just Don't know where to start.

Questions

I know that I want to get involved in Rental properties and house hacking seems to be a great way to get into it. But I have no Idea how to go about buying my first multi family home. Between my two jobs I'm making about 1200 a month after tax. This amount is far too low to jump into a deal, plus I only have 8,000 to my name. So I don't know if I should work at getting a better paying job to be able to afford a property, or what. What would you recommend?

My second problem is that I don't really know anyone involved in real estate. And even if I did I wouldn't know who I need to know. I understand that any Real Estate Investor needs a team including, an agent, an attorney, Possibly a repair company, or some sort of property management. But that's pretty much it. I definitely have some holes in my education. And I'm always working to improve that.

Lastly I'm not sure on how to go about financing a home. If a 19 year old with two low paying jobs walks into a bank looking for a lone, He's not going to walk out with one that's for sure. I Know very little about hard money lenders or even how to go about the paperwork. 

Let me know your thoughts on any, or all of this. I am looking forward to any replies I may get as this is my first post and I'm truly seeking knowledge. Thank you very much for your time. 

Sincerely,

Austin Adee

[Kim Younkin]

Hi there @Austin Adee...you're the second 19 year-old I've responded to in the last 24 hours because your drive and ambition are very impressive and I want to pass on some thoughts. The first thing I would do if I were you is go to a local real estate investors' meeting as soon as you can. You'll meet people you can ask these questions to in person, and really, a community is what we need to help us succeed in whatever we do. If you live in Portland, go to northwestreia.com and look at their meetings -- it looks like they have a March meeting at a Doubletree Hotel in Portland. Also, Google "Portland OR REIA groups" to find other groups. Sometimes these groups are membership based -- but worth every penny for what you learn and who you meet! -- but here in Columbus our group lets people come to a first meeting for free. Then there is another group here that's always free, so research all those you find. And then just go! I was in mine here for over a year and met all kinds of people at all stages of investing, as well as vendors, lenders, etc.

As for your house hacking idea, which is a fantastic one, there are loans you get as a first time homeowner (FHA) and loans you can get specifically to house hack. Find a "community bank" -- avoid large banks like 5/3, Chase, etc. -- and just go in and talk to a lender and tell them everything you said here about your finances and what you hope to do. Don't ever count yourself out without talking to people first - you'll be amazed at that you'll find.

Oh, also right now I'm reading The Power of Habit by Charles Duhigg -- awesome reading if you're planning to be an entrepreneur who reports only to themselves and needs good self-discipline. 

And listen to podcasts and read everything here on BP. Best of luck to you! - Kim