Hey, Y'all: Newbie looking for advice on stepping into RE

Hey, Y'all: Newbie looking for advice on stepping into RE

Starkville, MS · Member since 2017 · 8 posts · 4 votes

Hi BPers! I'm Brittany. 30 years old and working in a college town as an operations manager in video production. I became more interested in real estate after attending a Flip or Flop Success Path free seminar.

I have ALWAYS loved watching HGTV hosts flip/rehab houses because I've always had a fascination for what I called functional, livable art (architecture). So, when I saw the Success Path learning opportunity, I thought it would at least be a great chance to ask questions that will give me ideas of what to Google. ;) I actually learned a lot and in my search for more answers, I found this site. I love seeing everyone sharing their knowledge and I hope to gain more experience, so that I may share my experiences to help others.

Now on to why I'm here. I learned a bit about wholesaling and owner Finance in my research and I am currently in a situation where I need to move. Rent here (Starkville, MS) is toooo expensive. Mainly because this is a university town. So, I am interested in finding a home for myself and then getting into wholesaling. If I have to pay $1300/mth I want to own the property. I need to get around banks and deal directly with sellers because my DTI is too high. I am an artist as well and have made good money, but my current living situation prohibits me from expanding my financial options.

Does anyone have any tips on the best way for me to purchase a home for myself AND work my way into wholesaling? I am not beneath work and am currently looking into joining investors clubs near me. I appreciate all feedback and welcome any questions!

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  • Florissant, MO · Member since 2017 · 1 post · 1 vote
    9y

    @Brittany Goss

    Welcome from a newbie who hasn't even done my intro to bp....

    Research lease option as a way around the DTI issue.

    Good luck!!!!!!!!

  • Escrow Officer · Ewing, NJ · Member since 2017 · 35 posts · 16 votes
    9y
    Hi Brittany, lease options are a great work around. You might also want to just work through your DTI situation. That's what I did and although it takes some patience, I promise it's a weight lifted. Are you thinking of going the way of FHA financing? Since last summer (I believe) FHA now uses a 1% blanket method for student loan debt : 1% of your total balance (regardless of your monthly payment). For most people that have attended via regular means will have upwards of 50k or 500/mo. If you have a car payment on top of that and are making 50k out of college your DTI is automatically out of whack from just those two. But you could consider refinancing the car, negotiating credit cards, etc. You could also try crowd funding and hitting up the auctions in your area. You may be able to build a team of like minded friends/ art colleagues to go in with you and house hack a dope a** art space! Cash is king so get creative. Especially since you're new to the game you'll come up with ideas while you're learning about other stuff.
  • Starkville, MS · Member since 2017 · 8 posts · 4 votes
    9y

    Thank you both for your input. @Randy Wilford I have actually looked into that and that definitely seems to be an option. I've also looked into owner finance since I have actually heard a couple of real stories in which that worked out. @Lana G. I initially went to my credit union with the idea of going the FHA route, but they stirred me towards USDA and that's what I did. I was denied because of my DTI. I am currently trying to double up on payments and would love to stay put to throw even more money at my student loans, but I'm just going to have to move and create a few extra jobs so that I can knock it out. I love the auction idea. I've recently learned more about attending auctions to network. I'm also looking into diving into a real Estate investor's club to see if can find a mentor. It's definitely time to be creative!

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