News for Newbies - How to get started

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I saw an interesting post asking newbies what they fear most about getting started. It was a variety of things depending on the person. The one thing most everyone said in one way or another is fear of the unknown.

Here are a couple of tips:

1) Real estate isn't rocket science. (sorry you rocket scientists, you'd probably overthink real estate, too.)

2) As a newbie, If you are told what you can and what you can't do, it cuts the risk tremendously. You simply avoid those things. There are legal things you can do and ones you can't do, there are banking things you can do and ones you can't do, there are marketing things you can do and ones you can't do, there are landlord things you can do and ones you can't do, there are rehab things you can do and ones you can't do, there are financial things you can do and ones you can't do, there are tax things you can do and ones you can't do, there are moral things you can do and immoral ones you shouldn't do and so on. It's simple enough. 

For most people it simply means doing the first few houses with an experienced partner.

3) A lot of people went to college and spent a lot of money and learned a lot of (irrelevant) things and now have lots of debt and quickly found out their degree didn't impress anyone enough to give them a decent job. Real estate doesn't require going to college. It does require the use of deductive thinking that you were supposed to get with that college degree. 

           Here are some of the questions you should be asking yourself:

 a. "What kind of real estate investor do I want to be?" Fix & Flip, Buy & Hold, Subject To, Wraps, Notes, Commercial, apartments, elder care facilities, land, builder, project manager, etc, etc,

b. "How do I learn to do that?" Once you have a general idea, do a search on BP and follow the threads of like minded individuals. Take successful people in the field you've chosen to lunch and pick their brains. 

c. "Set a time frame" - On paper, write out a plan for the next five years that is stated month by month. The plan will refine over time, but you have to start somewhere.

d. "Oh, and stop worrying" about your age, or your social economic background, or that you are a woman or that you are black or brown or green. When people see your *smile* they are looking at your soul, not your features. I've seen some photos of people on BP who I would not walk down a dark alley with. Yet, they are probably nice people inside just trying to find their way. Lighten up. Use a photo that shows warmth. That photo is the first impression we have of you.

e. "Engage. Ask questions." Will people laugh at your questions? Of course, because they are funny questions. Get over it. But, people will help you through the process. **All** of us were new at one time. My first houses just happened to be right after the great flood (a very long time ago) and there were few to turn to for answers. In looking back, I'd rather have had people available to laugh at my newness and questions and give me solutions, than have to take the time to figure it all out on my own in the heat of the transaction. But, things are what they are. That was then. There are now so many resources and so many people to answer those questions, that you are officially negligent if you don't speak up and take advantage. ;-)

That's a start. Yes, there is more and that is one thing that make real estate so great. There is always more to learn.