I was 32 years old with tons of college loans and starting a career as a producer of television commercials.

I wasn't looking to buy real estate, my brother was looking to buy so we had the NY Times paper open. Yes, the year was 1998. No iPhone and the internet wasn't really used to search. It was the old fashion real estate section of the NY Times. 

There was this 1 bedroom Co-Op selling for 50k in my Park Slope neighborhood in Brooklyn. Before I knew it I was standing in the sun-filled living room. Looking at a galley kitchen with a space of two tiles a person to stand. I couldn't open the oven door, not even to store pots. 

But the bedroom was big and best of all I could afford it. I knew the neighborhood. And between the mortgage and maintenance, it was going to be the same as my current rent. So why not?

10k dollars why not. I needed the downpayment and closing costs. 

The horror stories started from friends. Don't buy a co-op, they are risky. Not a good investment. But I gave the buildings financial paperwork to my accountant and he told me the truth. They had issues but it was ok. 

I made an offer. But I also looked at other properties to see what they were selling for.

I borrowed that 10k dollars from friends, and credit cards. I was working and making good money so I will repay on time. 

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My mortgage and maintenance were $700.. I could do it. 

But I wanted a bigger kitchen. 

A year later another apartment became available with a real kitchen. YAY. this one for 80k. 

Take a guess what I did?

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I bought it. I had already paid the money I borrowed, plus a bit more for saying thank you for lending me. 

I rented the first apartment and moved down the hallway.. It was glorious. 

I also became part of the co-op board I wanted to know what they were going to do with the money. What was happening in the building? I loved my place

But my downstairs neighbor was hell
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 I sold the first apartment for 150k and paid 20k in capital gain taxes because I didn't know any better. 

Yes. bought it for 50k sold it for 150k in less than 3 years. 

Because of that neighbor, I sold the second apartment and bought a house. 
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The second apartment I bought for 80k and I sold for 320k.. Yes, I know.. great appreciation. 

I then bought my house for 500k and it had two apartments so I was cover. My downpayment and repairs came from the sale of the second apartment. 

Kept the house for 16 years and now I'm in a contract for 1.8 million. 

Through those 16 years, the second apartment was always income-producing and for the last 10 years, I was Airbnbing the house. Even my part of the house. 

Grossing 100k a year. In 2019 it was 130k, with two listings one home.

All because of 10k

MANY LESSONS:

Listen to those that know: I talked to my accountant to see numbers, not to friends who didn't know real estate

Pivot and change: A bad neighbor created an opportunity,

Know your market: I lived in the neighborhood so I knew that it was getting better and improving. 

Pay your debt: ALWAYS. If you borrow money pay them plus interest.. so you can go back if need to

Learn and be informed or pay unnecessary taxes.. I could have kept apt 1 or do 1031 exchange

Most important.. Just start, no situation will ever be ideal or perfect. Just think that oven in that bad kitchen.