Want to get into Real Estate investing

[Damian Cardenas]

Hey guys, I'm currently 18 years old and I really want to get into real estate investing but I'm not sure what I should do or how I should get started. I've considered wholesaling, but I live in Illinois and they require a wholesaler to have a brokers license. Do you guys have any advice/tips?

[Jared Johnson]

Hey Damian,

Good on you for starting so early brother! Really cool to see. Earlier the better, even if its just you studying the subject for a couple of years before the first deal OR if you decide to jump on something and learn that way! 

The way I got started was that from the ages of 17-21 I had been saving like 80% of my income and eating like a dog. I knew I wanted to get into real estate but didn't know how to really get the ball rolling. I had been able to save up just shy of $25K with no debt at all, to help the DTI. Don't carry any bad debt.

Then one day I was talking to my mom about wanting to get into a house/rental property to buy and live in and essentially "house hack". My mom isn't the investment type but regardless of that, she said to talk to the broker they had used in the past for a home they bought for themselves to live in.

This broker just so happened to have 24 rentals which equaled 72 units at the time it ranged from commercial to small multi and single family. (something really cool is that she also started at 18!). You should find a broker that understands the space!

 So this lady knew what she was doing. She helped my find something in the multifamily space and I closed on a triplex.

I used an FHA Loan with 3.5% down at 4.125% interest. (to get into the property it cost less than $5,000)

Then the work started, LEARNING and GROWING PAINS (I knew zero about anything with this type of project) , rehabs, new leases, raising rents, etc. 

Fast forward to today its worth $130k more only after 3 years so far and I have a HELOC on it as well as a refi with 3.0% interest and am looking for my next one to get.

Just keep your eyes open and save your money, don't blow money on things you don't need. The seed you plant today will feed you later in life man. Don't get discouraged. 

Another obstacle which I think I have finally overcome, is the age factor. Could have been just me, but getting lenders and brokers to take you serious at such a young age is difficult. If you define what you want out of them and what you want the deal to look like, they will give more of their efforts to you. Like Brandon on the podcast keeps saying, make your crystal criteria of what you want. 

Hope this answered at least one question you may have.

(I have never done a wholesale deal, but I could have been doing it the hard way. not saying my way was the right way)

If you want to know anything else or have any questions feel free to reach out, Good luck!