Lost and Confused

[Josh Hyman]

Hey everyone,

I won't go into introducing myself, I've done that in the 'Introduction' section of the forum already..http://www.biggerpockets.com/forums/55/topics/94877-new-member-from-israel

I've been reading through some blog posts and listening to the podcasts from @Josh Dorkin and @Brandon Turner.
Being new to the world of real estate, I'm trying to discover what is the best niche for myself. However, I find myself being inundated with different options like wholesaling, holdings, flips, leases, commercial or residential.. not to mention loads of acronyms that only add to the confusion.

Is there anything that can be recommend to newbies to help them find the right direction and niche to start off with? Any tips to assist in self-assessment to recognize strengths and weaknesses?

Thanks a lot!!

[Anthony Dadlani]

This is the way I look at it. Below are some attributes and features of each. Others may wish to add more detail.

Buy/hold/rent
If you prefer to be more passive and accumulate properties.
Earn about 10-18% on your capital. Not using leverage.
Long term Appreciation. Building a portfolio.
Will have tenant headaches, repairs, vacancy
Can choose to outsource land lording for reduced returns

Wholesale
Is a full time job sourcing, negotiating and marketing properties
Have to hustle and find deals everyday
Can start with small capital for deposits and earnest money
Good knowledge of repair costs will help you provide accurate numbers to your buyers
No long term appreciation as not holding any properties

Rehab/Flip
It's a full time job being a project manager and working with contractors
Need to be a good coordinator and manage people
Need good knowledge of repairs and costing
Can earn 100% or more on each flip using leverage and private funding
No long term appreciation as not holding any properties