New Investor looking to kick off 2018 in North DFW

New Investor looking to kick off 2018 in North DFW

Celina, TX · Member since 2016 · 6 posts · 1 vote

Happy Holidays BiggerPockets family!  I hope everyone had a Merry Christmas and have some fun things lined up for New Years.  My name is Kevin and I'm a new investor living in Celina, TX which is in North DFW for those unfamiliar with the area.  I had a big 2017 that included getting married to an amazing woman who motivates me to a be a better man every single day.  We have a 5 year old son and since forming my little family, I have taken on a new outlook with life and have gained a focus I haven't had since attending the United States Merchant Marine Academy some years ago.  I currently work in Offshore Oil & Gas and anyone following the oil markets knows things are still pretty crazy and I don't feel the same job stability I once did.  Being that I'm now providing for a family, I've chosen to take things more into my own hands and make sure they are never in a situation where they are left wanting for anything.  

With all that being said, I have spent many months reading, researching and plowing through the backlog of BiggerPockets Podcasts, trying to educate myself and prepare to make my first moves into the North DFW marketplace.  I'm looking to begin flipping homes in Denton and Collin Counties to generate cash flow and then eventually expand into Buy & Holds and small multifamily units in the DFW area.  Once learning the ropes and building a respectable track record, I'm very open to investing in markets outside my immediate area of Dallas, TX.  I have a project manager that I'll be partnering with to help manage the day to day contractors and projects but I'm still looking for some vital team members.  

We are currently looking for an attorney who specializes in real estate and a CPA with the same REI specialization. I'd absolutely love to connect with local area wholesalers and real estate agents who have seen deals coming through Denton County and are willing to sit down and form a professional and friendly working relationship. We have our current goal set for a minimum of 4 flips in 2018 but I have a feeling, once we get our rhythm going, we'll outpace that pretty quickly. Thank you everyone for taking the time to read my little introduction and I honestly can't wait to connect with as many as you as possible as we all travel down this REI road together. Let the adventure begin!

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Investor · Denton, TX · Member since 2015 · 16 posts · 7 votes
8y
Hello Kevin, My wife and I are investors in Denton. We have four rentals. After reading your post, I offer the follow advice that you can take or leave: 1. House flipping is not as easy as tv, radio, your friends, bigger pockets, etc say. It requires many, many skill sets including project management, cash flow management, proper and realistic valuation of properties, dealing with hard money lenders. 2. Learn one market at a time. McKinney is a different market than Denton and both are different than Plano or Dallas. Learn to spot good and profitable deals in one market. 3. Don’t deal with wholesalers.....yet. You are not sophisticated enough to deal with them. It is a cut throat business. They will eat your lunch before you know what hit you. Use realtors (in the area you are investing in) to help you with your first few deals. You may pay a little more but you won’t have to deal with wholesalers deadlines and non-refundable deposits as a novice. 4. Make an appointment with a hard money lender. Go pick his brain for an hour and do not leave until you know the process of hard money loans from start to finish. I have a hard money lender that I will share with you if you message me. These are just a few things that I have thought of. I am always looking for deals myself and I am always looking to expand my network. Robert
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  • Realtor · Grapevine, TX · Member since 2017 · 23 posts · 13 votes
    8y
    Hi Kevin, how exciting! I’m a Realtor in DFW and I work exclusively with investors here doing fix and flips and buy and hold - single family and multi family. I would love to chat more about your goals and see if I can be a resource for you!
  • Celina, TX · Member since 2016 · 6 posts · 1 vote
    8y

    Hi @Sarah Nowak, that sounds perfect.  I'll DM you my email and we can go from there. 

  • Investor · Denton, TX · Member since 2015 · 16 posts · 7 votes
    8y
    Hello Kevin, My wife and I are investors in Denton. We have four rentals. After reading your post, I offer the follow advice that you can take or leave: 1. House flipping is not as easy as tv, radio, your friends, bigger pockets, etc say. It requires many, many skill sets including project management, cash flow management, proper and realistic valuation of properties, dealing with hard money lenders. 2. Learn one market at a time. McKinney is a different market than Denton and both are different than Plano or Dallas. Learn to spot good and profitable deals in one market. 3. Don’t deal with wholesalers.....yet. You are not sophisticated enough to deal with them. It is a cut throat business. They will eat your lunch before you know what hit you. Use realtors (in the area you are investing in) to help you with your first few deals. You may pay a little more but you won’t have to deal with wholesalers deadlines and non-refundable deposits as a novice. 4. Make an appointment with a hard money lender. Go pick his brain for an hour and do not leave until you know the process of hard money loans from start to finish. I have a hard money lender that I will share with you if you message me. These are just a few things that I have thought of. I am always looking for deals myself and I am always looking to expand my network. Robert
  • Real Estate Agent · Dallas, TX · Member since 2016 · 432 posts · 341 votes
    8y

    @Kevin Cox I would have to agree with @Robert Newburn as I tend to stay away from flipping. I personally am in for the long haul with my buy and hold investments that I have. I also have a CPA and an attorney if you would like some contacts. Feel free to contact me!

  • Realtor · Grapevine, TX · Member since 2017 · 23 posts · 13 votes
    8y

    I agree with a lot of what Robert said as well. I also think that beginners really need to outsource as much as possible until they are comfortable with the process enough to do it all on their own. As an agent, I believe it is part of my job to provide as many of those services as I can and help to educate my clients along the way so they can "leave the nest" :-) Ideally, you as an investor, should be able to learn enough in 1 to 2 years (depending on how many deals you do) to venture out on your own without need for an agent, project manager, etc. I do have clients that have been investors for much longer than that and could very well do my end of the job on their own but in those cases its usually a matter of convenience and time-saving. The key is to find an agent that has experience with investors. I became an agent because I watched my sister struggle through 3 flips to find a decent agent to no avail. And yes, I agree with the hard money lender point. You should meet with several and make sure you know exactly their process, what they are and are not willing to do, how they evaluate deals etc.

  • Celina, TX · Member since 2016 · 6 posts · 1 vote
    8y

    Wow, I'm appreciative of, not just the response, but how well thought out and upfront they are.  Thank you guys.

    @Robert Newburn You've made some fantastic points that I will not take lightly.  The wholesaler advice alone is something I had never heard or even read while hunting through the forums of BiggerPockets.  I may be wrong but I think that I came out pretty over zealous in my intro and you've basically told me to pump the brakes and be prepared to learn a lot more lessons and take my time through this journey.  I appreciate you taking the time to give me sincere advice and I would love to get to know you better and see what else I might learn from your experience.  I'll DM you and maybe we can get the wives together and have dinner one night, on me.   

    @Kenneth McKeown I sent you a DM with my contact info and I appreciate you reaching out.

    @Sarah Nowak I received your email, I really like what I've read and will be responding soon.

    Thanks again everyone for the responses, it means a lot to a newbie like me. 

  • Real Estate Agent · Dallas, TX · Member since 2016 · 10 posts · 0 votes
    8y

    Hey Kevin, 

    Great to hear you are getting started. I also came from oil and gas. I only work the land side though. Never went off shore. @Robert Newburn and @Sarah Nowak make great points. Just like in the oil field, when it comes to REI sometimes experience is the only teacher. The day you think that you know everything is the day you will make your biggest mistake. There is way too much to learn right off the bat so try to find a handful of experienced people to give insight on their experiences. PM me and I'd be more than happy to pass along any knowledge and insight that I have. I'd like to here a little about off shore life as well.

    Hunter 

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