Newbie Stupid Tax - How Much Does It Cost? How Much Will You Pay?

[Account Closed]

We were all newbies at one point. I, even I, made some Grand Stupid Mistakes (early on ;-). I wouldn't be able to add up how much "Stupid Tax" I paid getting my real estate investing career underway. Granted, we all still lived in thatched roof houses in those days and there were few people to learn from, and I had to learn a lot of it "trial and error" but things have changed. 

I know there are a ton of you "lurkers" out there, gotta love ya. But, add up the cost of doing a kitchen the wrong way, or ending up holding a property months longer than planned because you don't know how to get the property sold or even worse, how much you are losing because you never get started and that is a portion of your "Stupid Tax". Everybody is going to pay some "Stupid Tax". But don't over pay. Whatever job you are doing today, you had to learn. You probably paid to get through college, to learn. Real Estate is simply learning how to do things and finding out about the things you don't even know to ask. Team up with someone. Get started. Split the profit. 

As a newbie, tell us what you don't know so we can help. No one will laugh at you. You can't ask a question that we haven't already made a mistake at.

[Tyler Brown]

Originally posted by @Anthony Gayden:

Ken Min

I lost $1000 on my first 4 plex property I had under contract.

I had an inspection and appraisal done which revealed huge problems. I backed out and lost the money I had spent on the inspection and appraisal.

It sucked but I still ended up getting started.

 I wouldn't even consider that as "losing" $1,000.  Rather, you invested $1,000 in an inspection, and that investment paid off handsomely as you were able to walk away from a potential money pit.  You spent $1,000 in order save God knows how many tens or hundreds of thousands.  Sounds like a pretty good return to me.