College Real Estate Investing?

Question

Hey all! I'm a 20 year old sophomore college student and am just getting back into the swing of learning about Real Estate investing via Bigger Pockets and Brandon Turner's The Book on Rental Property Investing and was curious if there was any real estate investing scene among college students in Austin, TX(around UT-Austin area to be specific). Regardless, I'm just trying to get my feet wet and connect with suggestions on ways to learn the business a bit, and if there maybe some other things I should work on aside from building credit, saving money and educating myself. In addition, I was curious if anyone out there could let me know if they have any experience or would suggest attempting to House Hack a multi-family prop. a couple years down the line when I save up some money and have an actual steady income lenders can validate?

Thanks!

Charles Long · Answer

@Matthew Truty I got my real estate license when I was in school at TX State. It was a good way to start learning the business. Most of my business at the time was in helping fellow students find apartments, which has its challenges but actually pays quite well if you're good at it. As a Realtor you can work from home and make your own schedule, it was perfect for me and I was able to schedule my work around my classes. Something to keep in mind. Good Luck!!

Nathan Hillier · Answer

@Matthew Truty

Hey Matthew, im happy to see there are more 20 year olds trying to get into real estate.

Im currently 21 years old, from Albert Canada trying to do exactly what you are aiming to do. Your best bet like you said is to save, study, and maybe start slow and house hack.

I cant give advise on house hacking since im not in the position to be able to do so (its minimum 400k to buy a home here in Alberta, Canada) but id love to share how i was able to find a way into the US real estate market. A key lesson i learned after studying real estate, is that your networth grows with your network. So apart from saving and studying, start networking with real investors, at local meet ups. As well reach out and just talk to investors through BP via phone calls. This is also great people experience that will translate when you're really ready to invest.

By combining extensive networking and studying, i was able to find an opportunity to connect buyers to sellers after meeting the right people at the right time. This has also helped me create an opportunity to help my family, allowing them to invest in the US through these contacts, earning returns we could not dream of getting in Canada.

Fast track 9 months, we have bought 5 property's in three states, sold our first flip, and have 3 great rental properties.. i understand we all have different circumstances, but networking and studying created an opportunity i didnt think was even remotely possible living in Canada.

At the end of the day its about volume, the more people you talk to, the greater the chances are for you to find the right opportunity that works for you. You never know what you might find out there!

Hoped this helped, best of luck!

Wes Johnson · Answer

@Matthew Truty you're in rarified air brother. I bought my first property while still in college at only 21 and I was the only guy I knew who had done so. It may not be college specific but you should check out meetup.com there are definitely REI groups in your area because I've connected with folks in your market myself. Quite honestly you don't want to hang around other newbies all the time. You want to have your comfort zone pushed and stretched a little. Hang around the vets. They'll be able to tell you things you didn't even think of. Remember your network determines your net worth. You're the average of the 5 people you spend the most time with. Choose wisely.

Alina Trigub · Answer

@Matthew Truty

Congrats on joining BP and deciding to start investing early on in life!

Since you already picked a strategy, house-hacking, concentrate on educating yourself on it by reading books, and blogs and listening to podcasts, as well as directly reaching out to folks that are doing it now. In the meantime, save money for your down payment.

Jordan Moorhead · Answer

@Matthew  definitely househack when you can and I’m glad to see you acknowledge that you need to build credit and save money. Talk to a lender now, I have a great one in Austin who’d help you figure out what you need to do to be ready and when you will be. If you don’t have a steady income now you’ll need it. I know it’s not exciting but that most reliable way to invest in real estate is by having good credit and savings. Make more, save more and invest!

Nick Rutkowski · Answer

@Matthew Truty

Network, network, network. My favorite way to find connections is to go on LinkedIn, search real estate investor, message them to meet for coffee. I’m finally starting to do this and I’ve raised money and made some good connections.

Scott P. · Answer

@Matthew Truty at the time, to analyze it, I only did a quick calculation in my head:  Rental income based on current tenants minus PITI.  I wasn't concerned about CapEx or anything because I would've had those sorts of expenses if I had bought a SFR just to live in myself.

The bottom line for me is that I was either going to rent, or buy and pay a payment, or I could buy and have someone else make a payment to me - the tenant on the other side.  House hacking was the only option that brought in income of those 3 overall options.

Angelo Russell · Answer

@Matthew Truty congratulations on your early awakening! Yes build your credit but better start talking to friends with some cash. 29 friends with $1000 each can get you into a multi family in your area. Use the tools on BiggerPockets! Analyze the deals, then show your network the great deal, then get in.

William Glass · Answer

@Matthew Truty I agree with @Charles Long . Getting your real estate license may be the way to go. It isn't crazy expensive (even on a college budget) and you can learn the business and support other real estate agents on weekends or in your free time. You'll also get great exposure and learn a lot about the business.

It'll be a valuable learning experience and won't be unmanageable while in college. Think of it as an internship that could have outsized returns as you look to invest in the future.

Charles Long · Answer

@Matthew Truty Simple, I was interested in it so I moved forward. There are tons of different avenues you can take in the real estate business. Getting your license will allow you to explore it a little closer. Working in the industry and putting together deals for others will teach you the ins and outs for your own deals. Good Luck man...

College Real Estate Investing?

Most Popular Reply