New Member from New Jersey

[Kevin S.]

Hi! My name is Kevin. I'm 22 and a full time student about to receive my associate's in Accounting. I just became part time at work because after a year and a half of full time work and school, I realized I couldn't do both effectively. 

A few months ago, I started reading up on books and articles and I came to the conclusion I want to be a property investor. I do not want to work a 9-5 accounting position for the rest of my life. I've read plenty of articles around the Internet, plenty through this website, and read a couple books (Rich Dad, Poor Dad). 

I wanted some personal advice on how I should start. I want to invest in property by either buying foreclosed homes, renovating, and reselling... or buying a multifamily house (triplex or quad), living in one apartment, renting the other 2-3 out. That is the way I'm leaning to more. Now even with my part time job, I believe I can still save about $10k this year. 

All I want is to start as early as possible, because from what I've heard and read, people say their biggest mistake is not starting earlier. It's the law of compounding interest. Feel free to state any questions, comments, or concerns please! 

[Simon W.]

Advice1: get a BS/BA in Accounting. Get a full-time job, save enough for a down payment. Get a loan. I don't think you would get a high enough LTV with a part-time job.

Or if you want to skip out of the full-time job scenario;

Advice2: Find a property for $15K with a min. repairs that will bring the ARV to $50K+

Find a hard money lender which is usually 65%-75%, let's say 65%.

With your $10K as part of the 35% skin in the game. 

You can borrow close to $28500 before points and interest. You got closing cost to consider and property taxes to consider. 

Best case scenario: You sell the house in 2 weeks priced at $50K minus ~$35K of hardmoney leaving you $15K minus $10K of investment 

gain $5K and get taxed on that

Advice3: if you have a friends/family that can loan you private money

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I think you should go with advice 1 or 3. 

Biggest mistake is NOT "not starting early." 

The biggest mistake is not planning 15 steps ahead of the game.

If you do not like accounting, why bother getting a degree in it? Forcing yourself to learn accounting is not fun unless you know what you want to do with it.