Investor · San Jose, CA · Member since 2015 · 51 posts · 20 votes
Good Day,
I have been interested in R.E. for a long time. I have taken a course with a Real Estate (Free?) Investor Company in S. Calif. that was insightful but required lots of money to learn. I currently reside in the N. California region. I just recently sought out a R.E. Investment mentor who has after 2 months has fallen by the wayside.
I am seeking knowledge and advice on the right way to get into R.E. Investment before I retire in a few years. :> )).
Investor · San Jose, CA · Member since 2012 · 2k+ posts · 3k+ votes
10y
Danielle,
Welcome to BiggerPockets. If you're only a few years from retirement, why would you want to jump into real estate now? Where were you several years ago? Do you know where we are in the current cycle of the housing market?
If you have time, consider attending @Johnson H.'s monthly meet up at Whispers Cafe. It's located at 1085 E Brokaw Rd in North San Jose. You should be able to get most, if not all, your questions answered there. It's free to attend, and we don't have anything to sell you.
@Jeff Pollack also hosts a monthly meet-up at Harry Hofbrau in West San Jose. It costs $10 to attend, and it's quite educational and informative.
Most of the good things in life are not free including mentors. People tend to gravitate towards something for nothing. That's why those no money down threads are so popular.
My philosophy is quite simple. If you want something you've never had, you'll have to do something you've never done.
My partner and I are in contract to purchase a franchise that has the potential to make millions. I believe I know why the sellers are selling it. It's because they're not willing to give up their W2 job to grow this biz. It's the perceived job security over something uncertain. These individuals are very smart people, who are working in the hi-tech industry for a very nice salary. Of course, will see if we're right or wrong in a year.
It's our goal to be able to spend our lives in our own way. That's what financial freedom is all about. I have been fortunate enough to experience it for the last 6 years. All thanks to my wife. Now, it's my turn to get off the couch to get her off her W2. If god is willing, she should be able to walkaway from her job by the end of next year. :0)
Proceed with caution when it comes to paid training.
1st thing is 1st what do you want to do in real estate?
Do you want to make money bringing buyers and sellers together? If so your best bet is to become an agent. Get paid to learn.
Do you want to build long term wealth? Perhaps buying some rentals is the way to go. No need for paid training if your looking to get into a small rental portfolio. Most of the problems you may encounter are discussed here on the site and in many many books.
Investor · San Jose, CA · Member since 2015 · 51 posts · 20 votes
10y
@james wise Thank you for your response. I have learned that the hard way. Although the mentor actually turned me on to Bigger Pockets. I am looking to build long term wealth through investing. I also would like to find an avenue in which I can build my savings to become a full time investor.
I was recently approved for a FHA loan but before I sunk my saving into a SFH in my area I wanted to make certain this would be my best choice getting into R.E. Investing. I previously made the mistake of not reinvesting when I relocated and sold my home years ago.
Residential Real Estate Broker · San Mateo, CA · Member since 2013 · 585 posts · 264 votes
10y
@Danielle PriceWelcome to BP! Jo-Ann is write about the meet-ups as they are a great place to start. There is a great meet-up at Whispers Cafe that @Johnson H. puts on that I would recommend going to.
If you want to talk about anything, I am happy to hop on a call as well - just send me a PM. In general, I really liked the meeting because no one was selling anything which is rare to find. There were plenty of individuals there that were still learning the ropes.
Real Estate Agent · Rancho Palos Verdes, CA · Member since 2014 · 13 posts · 4 votes
10y
Look into a multi unit like a duplex, triplex, or fourplex. Live in one and rent out the others so someone else is paying for most of your mortgage. After 2 years, move out and get another multi unit, but do not sell the first one. Keep saving and repeat process.
Investor · San Jose, CA · Member since 2014 · 294 posts · 113 votes
10y
@Danielle Price Welcome to BP. Lot's of good people and good info here to help you get started.
I agree with @James Wise advice. I'd find out what level of investor/investment you're comfortable with. If you're comfortable being an onsite landlord right away, maybe a duplex is something you should consider. If you're not, then perhaps an out of town investment that's managed professionally is for you.
There is no secret formula, it boils down to you, your diligence and your comfort level. Best of luck and feel free to reach out if you have any questions.
Investor · Austin, TX · Member since 2014 · 144 posts · 86 votes
10y
Welcome! These guys are spot on. There's no secret formula and you should do what works best for you. Stay away from expensive guru seminars, everything you could possibly need is right here! Good luck!
@james wise Thank you for your response. I have learned that the hard way. Although the mentor actually turned me on to Bigger Pockets. I am looking to build long term wealth through investing. I also would like to find an avenue in which I can build my savings to become a full time investor.
I was recently approved for a FHA loan but before I sunk my saving into a SFH in my area I wanted to make certain this would be my best choice getting into R.E. Investing. I previously made the mistake of not reinvesting when I relocated and sold my home years ago.
I'd start slow. Find an agent to help you find properties in neighborhoods you are comfortable with. There is some great info on being a landlord. In small doses it really is not an overly complicated business. Read up on your landlord tenant laws though, very important.
Thank you all for the advise.. i have done lots of reading and research. i think i have gotten overwhelmed by all there is to know. So know that I am ready to take a stab at it I am frozen.. i will seek out the meetups as suggested.
I'm a real estate investor here in the East Bay. Like you, I am also a California native (lived most of my life in Northern California, but spent a few years down south for school). I feel that the most important overall lessons they taught me were to:
1) Live a frugal life, because it doesn't matter what your income is, if you can't save anything, you won't be able to invest anything. Whether it's bringing your own lunch to work to save a few bucks from eating out or wearing those ripped jeans for just a little bit longer (hey, ripped jeans are in style now anyways!), the old saying is right in that "A penny saved is a penny earned." Plus, it's a lot easier to start out living a frugal life and then slowly upgrade when you are collecting rental income than to start out with an extravagant life and try to cut back.
2) Do not get discouraged and never give up. Your first property won't be easy. Especially in California, you could get outbid, you could end up with a non-paying tenant, you could have a maintenance disaster, and the list goes on. That first property may even be a fixer-upper that drains your finances. Whatever the case, your first property will likely be your most difficult. So it is very important to remember to never give up and to never lose hope that you can turn the situation around. Because if there's a will, there's a way.
3) Don't be afraid of hard work. My very first job out of college was at a call center. Even though the job itself was not easy, I still took every opportunity I got to do overtime. There were some weeks where I would work almost the whole week through, with no proper weekend. That hard work paid off though: all that overtime helped me to be able to buy and renovate my first investment property. And that first property helped me to become a real estate investor, which eventually led me to a rewarding career in real estate. But all of this would have taken me so much longer to accomplish, had I not been so willing to work. So when given a choice, always remember that hard work will pay off.
I hope this advice is helpful to you and thank you for reaching out!
P.S. I would be careful with those "real estate gurus" and their paid courses. I've been to a few of the informational sessions they hold and in all honesty, you could easily get the information they offer, plus more, from a combination of BiggerPockets and real estate courses at a local community college. Good luck on your future ventures!
Mortgage Note Investor & Multi-Family Property Investor · San Diego, CA · Member since 2010 · 177 posts · 51 votes
10y
Hi Danielle,
Welcome to Bigger Pockets. I discovered BP a while ago but didn't really get involved until recently. I'm sorry I waited so long to "plug in". BP is an awesome resource.
I am a cash flow investor. I have been a landlord since 1982 and I have also flipped a fair numbers of homes over the years.
A couple of years ago I discovered the "paper" side of the real estate investment world. I purchased my first Mortgage Note. I have been actively acquiring Notes for passive cash flow since that time.
I like the the passive nature, the safety and the cash flow that I receive from Performing Mortgage Notes. I still own "brick & mortar" real estate but my end game is to be 100% in paper at some point.
I upgraded to BP Pro & upgraded my profile. Check it out.
Investor · San Jose, CA · Member since 2015 · 51 posts · 20 votes
10y
@Eva Poon Thank you for your words of encouragement. I have been in search of that first investment property to no avail. the properties in the bay area have gone so fast and for so much more than I have been willing to invest. I was discouraged for a couple of weeks but have regained my momentum. I appreciate yours words and will keep them in mind as I continue my journey.
Investor · San Jose, CA · Member since 2015 · 51 posts · 20 votes
10y
@Desi Arnaz Thank you for your response. I am glad you reached out to me. I am hoping that in the near future we may be able to connect in business. I do not have any knowledge in Paper Notes as there are so many avenue in R.E. Investing that I know haven't touched them all. It can be overwhelming and exciting where you want to try them all. I will take everyone's advice and continue to research and hope to find my true niche. Thanks again
Investor · San Jose, CA · Member since 2012 · 2k+ posts · 3k+ votes
10y
Danielle,
Welcome to BiggerPockets. If you're only a few years from retirement, why would you want to jump into real estate now? Where were you several years ago? Do you know where we are in the current cycle of the housing market?
If you have time, consider attending @Johnson H.'s monthly meet up at Whispers Cafe. It's located at 1085 E Brokaw Rd in North San Jose. You should be able to get most, if not all, your questions answered there. It's free to attend, and we don't have anything to sell you.
@Jeff Pollack also hosts a monthly meet-up at Harry Hofbrau in West San Jose. It costs $10 to attend, and it's quite educational and informative.
Most of the good things in life are not free including mentors. People tend to gravitate towards something for nothing. That's why those no money down threads are so popular.
My philosophy is quite simple. If you want something you've never had, you'll have to do something you've never done.
My partner and I are in contract to purchase a franchise that has the potential to make millions. I believe I know why the sellers are selling it. It's because they're not willing to give up their W2 job to grow this biz. It's the perceived job security over something uncertain. These individuals are very smart people, who are working in the hi-tech industry for a very nice salary. Of course, will see if we're right or wrong in a year.
It's our goal to be able to spend our lives in our own way. That's what financial freedom is all about. I have been fortunate enough to experience it for the last 6 years. All thanks to my wife. Now, it's my turn to get off the couch to get her off her W2. If god is willing, she should be able to walkaway from her job by the end of next year. :0)
Investor · Fremont, CA · Member since 2015 · 4 posts · 6 votes
10y
the prices are always more than you want to pay. Keep looking until you find a good deal. But don't wait too long. Try the house hacking ides Brandon always talks about. My first house I had 2 roommates who paid 2/3rds of my mortgage.
Investor · San Jose, CA · Member since 2015 · 51 posts · 20 votes
10y
@Account Closed I am not close to retiring, I just don't want to work for someone until I'm too old to enjoy life. I could work another 25 -30 yrs but for what a paycheck and back pain. I tried R.E. investing before but didn't have enough knowledge to sustain it effectively. I was too young and no one with experience to mentor/encourage me.
This has always been my goal and so I must try it again with more knowledge and understanding, I know I will be successful.
San Francisco, CA · Member since 2014 · 31 posts · 9 votes
10y
Hi there! welcome to BP and investing.... the beginning is always the hardest but once you get your feet wet, investing becomes more exciting i think.... my humble opinion if you want to build a solid long term wealth and PASSIVE income so that you could retire one day or keep working and have a side income, you should look outside of your area and invest out of state. Living in Bay area myself, I know the market,
Cheers!
Starts with that first property! gotta take the action today.
San Francisco, CA · Member since 2014 · 31 posts · 9 votes
10y
Hi there! welcome to BP and investing.... the beginning is always the hardest but once you get your feet wet, investing becomes more exciting i think.... my humble opinion if you want to build a solid long term wealth and PASSIVE income so that you could retire one day or keep working and have a side income, you should look outside of your area and invest out of state.
Cheers!
Starts with that first property! gotta take the action today.
Investor · San Jose, CA · Member since 2012 · 2k+ posts · 3k+ votes
10y
@Account Closed is the latest victim, who I met at Johnson's meet-up this Wednesday. Unfortunately, I don't remember what I said. :>)
Life will pay whatever the price you ask of it. However, you have to put in the effort. Otherwise, it's just a dream. Hope to meet you at one of the meet-ups in the near future. Just remember that I'm contagious. Once you talked to me, you would likely be converted to a CA investor. Yikes! :>)
Investor · San Jose, CA · Member since 2015 · 51 posts · 20 votes
10y
Thank you all. I have been researching lots of information here on BP and am working on making connections with a few people who have reached out to me.
@Account Closed I have realized that my first step will more than likely take me out of state. I have started looking for people to connect with in Nevada and Texas. So if have someone you can refer please let me know. I ready to "JUMP IN"