New member from California

[Javier Alvarez]

Hello bigger pockets community. My name is Javier Alvarez. I am absolutely brand new to real estate investing. My main interests are buying and holding rental properties (especially multi family housing) as well as fixing and flipping properties. Honestly though I want to learn as many aspects of real estate investment as I can. I am basically at the very beginning of my journey as I have recently just started establishing credit. Prior to this year I had always been hesitant to  delve into the world of credit and my mindset was, If I don't have the money for it why charge it and if I do have the money for it then I don't need to charge it.  

But as I began growing interested in real estate as a form of passive income I was advised that credit is akin to a résumé for financial institutions. In contrast though as I read more information and watch more videos(which is how I found this website) I hear about getting properties 100% financed. 

Ha, so sorry but it looks like my introductory post turned into my first question. 

Is it truly possible for someone such as me establishing credit to get a property 100% financed and for said loan to not be a huge risk?

[Mindy Jensen]

Welcome to BiggerPockets, @Javier Alvarez.

I'm not sure about 100% financing for someone with little or no credit history. One thing to do while you are looking for your first property is to start setting up your credit. Apply for a credit card from a major bank. If you get turned down due to your lack of credit history, apply for a secured card. A secured card is one where you put down a deposit, say $500. That deposit becomes your credit limit, so the bank is not taking a chance on you. Make purchases just like a normal card, and they send you a bill just like a normal card. You make your payments on time (which is super important) and this information gets reported to credit bureaus just like a normal card.

You can easily raise your score with this positive information on your report. Start by charging small things, like gas or groceries. 

Another thing to do while you are searching for your first deal is to learn your market. Find an agent and have them set you up to automatically receive listings similar to what you are looking for. You can get a feel for prices and market time by doing this. You'll know a good deal when you see it.