Edmond, OK · Member since 2021 · 5 posts · 2 votes
Hi! I am 14 years old. I have recently started a sneaker reselling business. I have a plan for the next 4 years and Im hoping you can tell me if their is some problems, a better alternative, etc. It goes as follows: Raise 25k thru my sneaker business and 20k through my job. What I would like to do is use a portion of that 45k to use as a down payment from a hard money lender or private lender and incorporate the renovation costs in the down payment. And either flip the house or do the brrr method. Please weigh in. (I also have a lot of time on my hands so if you have any work for me that would be awesome! Will literally do anything as long as I get paid for it)
Investor · Cookeville, TN · Member since 2014 · 43 posts · 14 votes
5y
I love reading stories like this with the business savvy youth, I was similar when I was a kid selling snacks and trading cards. Having a plan is absolutely the best way to get anything done. Stick with you plan to have a down payment because that will never go wrong as place to start. Even when a younger person shows up, you may not be taken seriously as quickly as when you show up with the plan and the money to back it up. Dont change that! With that being said, there is a lot of unknown info that will have to be squared away at some point. If the question is if that is a good plan then yes, if the question is if the down payment amount and a hard money is a good fit, well that gets a lot harder to answer. So lets just say that you plan on doing your first deal when you are legally eligible to take out a mortage (18). That means you have the next 5 years to get some cash built up and to get a plan that works for you. Is the amount enough? Maybe, depending on your area and what the market does over the next 5 years. In todays money, if you are in New York City, San Fransico, LA, or other similar priced markets you may not be able to do much with that money. There is plenty of places where that would be just enough and other places where that would be more than enough to get going and even have some left over. I would say spend time filling your head with as much knowledge possible (you are already in a good place for that). I would try to make contact with a local investor, contractor, realtor, and loan officer. See if you can get some part time work with any of them, and remember that if you bring value you to them, they will always want to do more with you/for you. I was out of college and broke, but when I got some extra money I would take out local investors to a steak dinner (on me) so I could ask them questions for about an hour. I was always out of pocket and eating ramen noodles for weeks afterwards but those dinners has paid in dividends 100 times over. You become a staple around those people, be nice/respectful, and by the time you are ready to make your first deal you will have such a resource pool that you will instantly know who to goto for just about anything. Good luck and keep with it, im rooting for you!