Best Place to Start for a Newbie?

Question

Hello! I'm in Baltimore, MD and excited to get started in real estate investing. It's something I've been thinking about doing for about 15 years and it's time! I'm fairly new. I get the concepts but really need to educate myself. I'd love some suggestions with the best places to start. I'm also concerned I'll get stuck teaching myself and never actually doing anything out of fear. How do you know when you're ready to go? I'm interested in rehab and rentals. I'd really like to make this a legit company as a long term goal. Thank you!

Brandon L. · Answer

Hello!  @Cortney Chaite

Welcome to BP, and congratulations on making the decision to invest in your future via real estate.

I have written a few blog posts that may help you get started here on BP, and with your investing. Please click on the links, give them a read, and share your thoughts in the comments.

First is a post that I feel will help not get overwhelmed with the amount of info that is here on BP:

https://www.biggerpockets.com/blogs/5868/52761-the-simple-guide-to-getting-started-on-bp

The second is a post that will help get you focused with your real estate investing goals:

https://www.biggerpockets.com/blogs/5868/52743-im-new-to-bp-any-advice-would-be-appriciated

The last one is a post that will help you choose an “investor friendly” real estate agent. There are many agents out there, but it’s important to choose the right one.

https://www.biggerpockets.com/blogs/5868/52724-im-new-to-investing-how-do-i-find-an-investor-friendly-agent

I love answering questions if you have any! Good Luck :)

Account Closed · Answer

Baltimore is a tough market to get involved in but some people do so. MD has a high tax when you sell the property so you have to build that into your estimates. What scares me is how much the town has deteriorated (police aren't permitted to do their jobs) so personally I'd pick an adjoining town like Owings Mills, Cockeysville or even Annapolis.

So, Decide which kind of investor you want to be (SFR, Commercial, Land, Tax Liens, Passive, HML, Multi-Family, Notes, Fix & Flip, Buy & Hold, "Subject To", apartments, duplexes, assisted living, REOs, Foreclosures, Short Sales), etc. Decide how much money you have access to, & the zip codes, city or state you want to focus on. That will determine the next step. Outline where you want to be in five years. Put it all in writing. Start working your plan. There are plenty of people around to help you each step of the way. Drop me a line if I can help.

Jeffrey H. · Answer

1. Best places to start? Local meetups. Lots of people whos egos make them willing to share with their competition. Take advantage. Copy off them.

2. How do you know when youre ready? You wont. You find out the hard way after the fact if you were right or not, and only because you took the risk.

KaTrina Jones · Answer

Welcome. A good place to start is a local REIA. I like Baltimore REIA.

Tarik Turner · Answer

Welcome to BP Hope you enjoy your new journey

Cortney Chaite · Answer

Thank you, everyone!!

Ozzy Sirimsi · Answer

I don't know your price points and goals but I would get something around Fells, Fed Hill, Reminton etc...  type of a neighborhood. Houses will be more expensive than rest of the market,return will be lower, but you can learn from it. Buy something for 100-130 range, do a face lift, and rent it to $1700 and up.

We are in the process of buying two for my newbie investor friends and, they are happy with it.

Obviously, there other neighborhoods but you should just go there check it out, but the first house should be  in an area you feel very comfortable with. Learn about finding a tenant, see if you can deal with it, collecting rent check etc....  once it feels right, move to next one.

Allan Bishop Jr. · Answer

Welcome to BP @Cortney Chaite! Knowing when to get started is a great question. In the beginning it’s important to learn as much as you can but not fall into analysis paralysis.

Do take advantage of the podcasts, forums, books, and guides. Those are amazing resources. You can also look for a local REI group (which you can find through this site or the Meetup app). That will help you meet and network with local folks already involved in real estate investing.

I’d also recommend upgrading to PRO so that you can get unlimited use of the calculators. Getting the math right is critical to finding a “good” deal.

You’ll also frequently hear on BP that the intent of your first deal isn’t to make you a ton of money it’s to get you experience. So once you’ve got a firm grasp of the basics start looking for a deal and running the numbers. You can use BP to have others review your calculations if that would help. But at some point you just have to jump in (and never look back)! Good luck as you get started!

Best Place to Start for a Newbie?

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