How'd you get started?

[Rich S.]

So, as someone like many others that reads and researches, etc while we figure out a way to get started... I thought it would make sense to ask the question... How'd you all get started? First Project? Where'd you get the Money? What's your avenue.. Wholesale, buy/hold, flip, etc? Thanks

[Ken Barnett]

I read a Carlton Sheets book and went out and did what it said. (This was almost 20 years ago)

He talked about having the seller carry back a 10% note as the down payment so

when I went through the financing it looked like I had put 10% down when in reality

I was making payments. It worked, and I acquired my first rental property which was a duplex.

I remember my jaw hitting the ground when the seller said yes.

We never did another one that way. From then on I pulled money out of a line of credit

on a home equity loan and just paid cash. Then fixed them up and rented them. Put permanent

financing on them which got my capital back. Find another property and then do it all over again.

(It's very easy to get a mortgage on a property that you own free and clear.)

My advice to new investors BUY A HOUSE now. You don't know what you don't know and the

only way you will find out is to do it. Buying/Financing on a non-owner occupied (NOO) house is very

different from the home you will live in. You will learn more on that first deal then you will ever learn

from a book or sitting around crunching numbers.

FYI: I did this 8 years after I bought the Carton Sheets book. Talk about analysis paralysis!

I could just kick myself. 

In my opinion Wholesaling as a newbie really doesn't work unless you have a mentor who is right there and willing to help on your first few deals.

All the gurus say start here but us that have done it and still do it know how hard it was at first when we had no idea what we were doing.

Not to mention "IT IS A LOT OF WORK".

These are just my opinions and what I did. Remember it all depends on your area.

Hope this helps.