Newbie invester from Rhode Island

[Sackie Makor]

hey I am a newbie invester and also new to bigger pockets. I have always been intrigued with REI world. I have no experience in investing but I have been reading and researching. I also have read the ultimate guide, have been checking in on forums, and been listening to the podcast. I've been trying to get to know my area (which is Rhode Island). I am hoping to find a mentor and learn everything I can from bigger pockets. I am open to any suggestions and/or advice

[Anthony Thompson]

Sackie, welcome to Bigger Pockets! As you've seen, there is a wealth of good, free information here. You didn't mention the Bigger Pockets Podcast so be sure to check it out - always entertaining and informative.

Someone else in Rhode Island recently (like, yesterday :) asked about mentoring in Rhode Island so I'll refer you to that post.

I'd say start slowly and go in the direction of where you are most comfortable and/or attracted to - there are a lot of different aspects to this business.

Many suggest that new people begin with wholesaling, and if that's what's most interesting to you then by all means do so (again, tons of good info here on BP). I'm a cash buyer in all of RI, by the way :)

I would say that if you don't know where to start though (i.e., all other things being equal), you consider starting with a small rental house (single family you don't live in, or 2 or 3 family you may or may not live in).

Pick something close/convenient to where you live, because you'll be over there more than you expect, and make sure to read everything you can here on BP about analyzing buy-and-hold rental properties before buying. In a nutshell, the numbers have to work.

Also don't start with something needing anything other than a light rehab; paint and flooring are good candidates, maybe a new boiler or hot water tanks - think "under $30,000 total".

If the #s work you could also start with something needing little/no rehab. Heresy around here, I know, but if the #s work that would free you to start learning how to be a landlord right away instead of having a project on your hands.

The reason I recommend a small buy-and-hold rental is that no matter what else you end up doing with real estate, it's such a significant part of the RE pie that in my opinion you really do need to understand it. For example, many times when you wholesale you might be wholesaling to buy-and-hold investors - it will help you identify good properties for them, and talk to them, if you have a little landlording under your belt too.

And I mentioned it in the other post but can't help repeating myself, consider going to a local real estate group such as RIREIG in RI or Black Diamond REI in southern MA. For free or very little money you can stay current with laws affecting our industry, make great local contacts with fellow investors, real-estate savvy vendors, private lenders, etc. - very worthwhile.

Again, good luck and welcome to BP!