New Guy from Warwick, Rhode Island

[Peter LaBanca]

Terrible, not-so-intentional rhyming in the topic aside, my name is Peter. I have always been interested in investing, whether it is stock markets, real estate, or even private lending.

I am a software engineer by trade. I have always loved to create things and got into creating websites and applications since the age of 11. I live in Rhode Island, but I work in Waltham, MA, a city outside of Boston. That gives me at least 2 hours a day on the road going back and forth to work.

Using that "free time," I started listening to podcasts, the first one being a general investing podcast, the Money Tree Investing Podcast. They talked about all forms of investing but mainly focus on the stock, bond, and commodities markets. They do touch on REIT's since those are traded in the same way stocks are. I have been investing in the stock/REIT markets for a little over a year now.

After finishing that, I started the Masters In Business Podcast, where I got to hear the host interview some of the biggest names in all forms of business, from Jack Bogle (CEO of Vanguard), to Ben Bernanke (Chairman of the Fed). I listened to the entirety of that podcast as well.

Now, I have stumbled across a great podcast known as the BiggerPockets Podcast. Josh and Brandon have put together a great vehicle for learning on-the-go. I am currently only on episode 14, but I am already excited about the potential impact it can make in my life, which is what has brought me to these forums.

I am interested in making money in real estate, and I'm open the approach I take. Similar to the stock market, I think buy-and-hold investing is less risky than flipping, so I'm thinking that is something I'd be more interested in.

Is there anyone else from the Rhode Island/New England area that may have any tips for a guy who has investing and business knowledge, but very little real estate knowledge? I will add that I do own the single family home that I currently live in, so I am not entirely fresh off the boat.

[Anthony Thompson]

Peter, welcome to Bigger Pockets! You've already discovered the podcasts, which are one of the things I typically recommend to newer people.

I also often recommend people seek out and attend a local real estate investment group such as Black Diamond REI (blackdiamondrei.com) or RI Real Estate Investors Group (rireig.com). I believe Black Diamond has some meetings in Waltham, and RIREIG meets in Warwick, so maybe both groups will be convenient for you.

As for your question, tips for someone with investing and business knowledge, I'd say real estate isn't as different from other businesses as it might seem at first.

If you're doing buy and hold, each property is a business and the tenants are your customers. Just like any business, you have to find ways to increase income, reduce expenses, keep your customers happy, but not let any specific bad customers ruin things for your business and other (good) customers.

If you're going to be wholesaling it's the same thing except your cash buyers (like me) are your customers and you still need to increase income (get better at doing comps and repairs and negotiating) and reduce expenses (find better marketing lists/methods).

And of course if you have specific questions you can post them here on BP and we'll be happy to help.