Starting out in REI - Beginner Questions

[Christina Larios]

Hello everyone! a few months ago, I asked about the San Antonio market, how to get started investing in real estate, and what areas are best for investing. I got me a few pointers from helpful folks here. But it was a bit hard to study the market from afar so we moved our family here. - we got here last week! yey!

got daycare situated and still a newborn attached to my hip but otherwise, I need to hit the ground running.

My goal is to have a retirement income sustained by rental properties; though hoping for fast cash by flipping properties. My work has always been in computers, so my knowledge in real estate is limited.

With that said, should I get my own real estate license to save on the commission? Does it give considerable access to property information? if so, can it be done online? I saw the 180 hour requirement but it's classroom, and with a month old infant, it's a bit challenging.

if bidding for properties through auction, do you get the property after you pay? or is it subject to escrow time still? what about buying properties from a wholesaler?

Also, is loopnet.com a reliable place to find worthy properties?

Any beginner podcasts, websites that's recommended for beginners? like REI for dummies style.

Thanks everyone! 

[Rick Pozos]

Hey @Christina Larios, thats great that you want to make some fast cash by flipping some properties and hold some long term. 

Have you purchased properties that were 30% to 50% below market price? If not, you are not going to make fast cash flipping properties. Are you able to come up with ARVs on houses so that you can make a solid offer? Can you tell how much a rehab is going to cost because you know construction prices in San Antonio and can find the contractors who can do it for that price??

You dont need a real estate license, but you have to have some knowledge in the business that you are going to start. Online or in person auctions is NOT the place to buy properties right now. Most properties are going to go at or near market price. So again you will not be at 30-50% off retail. 

Learn all that you can about direct mail marketing, marketing through facebook, get a website set up to attract leads, network with other local investors and get out and join some groups or become a part of some of the clubs in town. When you are networking and can see how others are doing it, you will be able to see clearly how you can do it also. 

It is possible to substitute your active income with passive income, but it will take a strong knowledge base, with a healthy dose of hard work and also the wave of the market rising. We are kinda at the top of the market right now. It will probably be great to get your knowledge NOW and start investing in a year or two as the market cools down. When everyone starts to say that real estate is great is when you should be getting out. When they say I will never get into real estate again because I just lost my shirt, thats is when you should be getting in. Buy low sell high. We are high right now!!