Figuring It All Out in Apopka, FL

[Tyler McConnell]

Hey, y'all! 

I'm brand new to real estate investing and I'm hoping to find a community here that I can lean into as I learn how to get on my feet. My wife and I are located in Apopka, FL and I'm trying to educate myself as we move cautiously toward adding REI to our fledgling portfolio.

My professional background is in eminent domain right of way. I'm currently in pursuit of my state certified general appraisal license, so my knowledge of and exposure to real estate began about four years ago. I'm a nerd through and through, and I love real estate. Some of the most fun I've ever had was house hunting last year before we purchased.

If anyone has suggestions on threads or topics discussing how to begin with little or no capital, then I would be immensely grateful. I have already downloaded the UBG and begun reading it. It's been helpful so far. 

Looking forward to plugging in here,

Tyler

[Russell Holmes]

@Tyler McConnell welcome to BP from a fellow Apopkan! Where in town do you live? My wife and I are right off Vick Rd in the neighborhood North of Apopka Elementary, Clayton Estates. I'd love to meet up at some point as it's rare to find BP members in our "area" who aren't further south in Orlando. My best advice would be to dig in to the forums and books on any topic that interests you and if time allows, check out a CFRI meeting too. There are so many experts on BP with decades of experience that share wisdom constantly. Search Jay Hinrichs and read just about anything he posts, it's gold. I found Bigger Pockets about 18 months ago and devoured so much information yet have barely scratched the surface. I've always had a nerdy infatuation with Real Estate and have followed the market for years (I grew up just over the Seminole line in Altamonte. I bought my personal home at a great point in 2009 but haven't been able to purchase an investment yet, but soon! I desperately want to begin investing myself, becoming licensed earlier this year being a big step for education and financial reasons. However I need to build more capital to both go full time as a Realtor and begin to dive into my own deals, currently also juggling running a business I started in '07. So while I don't have capital to invest yet or a long track record, I've jumped in with both feet. I have a couple flip houses for clients in Apopka I could likely show you just for curiosity sake if you'd like. I'd check with the owners but they'd likely be open to it. One property is listed and withheld from the MLS down near the Apopka hospital. Cool 1040sf 3/2. I'm helping the client find a contractor to finish the work needed, but it'll be a $185k 3/2 when complete. He's getting licensed as a GC in the near future to overcome the GC hurdle and hire subs himself. It's currently roughed in so you can see everything that's gone into it. We're not selling it until complete so it sits, but it'll get there. The other one is a 3/1 off Mt. Plymouth Rd that tentatively closes the 27th. It likely only needs cosmetic items and has a newer roof. GC walkthrough Monday and inspection Tuesday. I had a buyer's offer in on it within 12 hours of listing and we got it. It too should be at least $185k at 1300sf. Like the other one it'll need an added bathroom but no extra sqft. As long as closing goes as planned, rehab should begin this year. These aren't my houses or my capital, but I have to say rolling up my sleeves and hunting deals and finding buyers to make other people money is the most fun I've had in my life. Connecting professionals who do things I don't (GCs, lenders, inspectors, etc) and seeing all the moving parts is incredible. These sellers aren't looking for partners or anything, but I'd be happy to show you some deals others have going locally. I think Apopka/Mt. Plymouth/Mt.Dora area is set to explode in the next 10-15 years, so I hope to build a portfolio of holds in the next 5 years here before it becomes Lake Nona North...may flip some in the meantime, I'm open to anything profitable. For now I'm hustling to sell and have a double sided West Palm closing 11/26 and that Apopka one 11/27. I can't wait to have my own capital in play in 2019.

[Russell Holmes]

@Tyler McConnell also if you haven't discovered the BP podcasts yet, check them out, there are 300+ episodes of great content. BP money podcast is newer with less episodes but equally good. I was never a "podcast guy"...I like music....but I've listened to them all at least once.

[Brandon L.]

Hello! @Tyler McConnell

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 :)

[Tyler McConnell]

@Russell Holmes thank you for the immense details. I completely agree on the anticipated growth in the Apopka + area. I’d love to sit and hear more on how you got your feet in the door, especially without significant capital expenditure off the bat. We are located off Lake Doe Blvd at OBT, so we are within five minutes of each other. I’m still wet behind the ears and trying to gather knowledge, so anything and everything you’re willing to share will be a blessing. To your secondary question: yes, I’ve subscribed to the BP podcast a few weeks back. I’m working my way forward through their archive from oldest to newest. Do you have any reading outside of BP that you’d recommend?

[Tyler McConnell]

@Brandon L. Thank you for the post options. I’ll add them to my list of things to read. As you probably experienced in my stage, I’m drinking from a fire hose right now. Please let me know if you have any recommended reading outside the BP walls.

[Russell Holmes]

@Tyler McConnell we do live really close to each other! I've got a hectic few weeks coming up with closings and kids out of school for Thanksgiving break, but lets try to meet up in December sometime to chat.  I'm currently working to build capital through the sale of property to others, so as far as capital goes I'm on the outside looking in.  However, I'm right in the thick of it with the transactions, so I am forming my plan of attack one I do build up enough to get started.

One book I read and really got a lot out of before I found BP was Building Wealth One House at a Time by John W. Schaub.  I have since heard a few podcast guests recommend it as well.  It isn't necessarily a game plan you must follow, but instead a very straightforward example of how going slowly and cautiously, 7-figure wealth can be amassed with just ten houses in ten years.  Others on the forum would say his velocity of money is too slow, he should go bigger, faster, harder.  But one thing you'll find on BP is a vast array of investors with different motives. 

Some investors couldn't sleep at night with 7-figures in rental home mortgages no matter how large the net the cash flow, others couldn't sleep at night with 7-figures in 'dead equity' that isn't deployed in the maximum number of properties but oftentimes both start in the same place with one property with a some degree of leverage.   My grandfather semi-retired at 37 to be a full time stock broker from home.  He wrote one of the first books on the subject of predicting the market and buying for growth and stability, not as a gamble.  He's lived his entire life on dividends from investments and it pains him anytime he must liquidate any capital.  If he were a RE investor, he'd buy every single property in cash or he wouldn't buy at all.    

You really have to try to take in what makes sense for you from the 'fire hose' and be ok with not going down the rabbit holes that don't interest you. I've learned a ton and been at this for a good 18 months, but I'm still just getting started. As soon as I felt I grasped the intial 'newbie' fire hose, I opened the tap to the licensed Realtor one. Most Realtor training in general is about becoming a traditional listing and buyers agent. Name on the bus bench, banner on the highschool football field. Since I was 'raised' on BP, in a sense, for a year or so before becoming licensed, that purely transactional retail real estate doesn't interest me as much as rolling up my sleeves and getting creative. I'm direct mailing to houses worth maybe a half or a third of what most Realtors would spend their direct mail money on. I don't care to list a $400k house. I wouldn't turn it down for sure, but I'm not chasing those. I have a list of buyers that I've built that are all looking for good flips or rentals. Why chase $400k houses I have no buyers for? Instead, I'm chasing what my investor buyers want, knowing that soon enough itll be what I want to buy as well and I'll have turned on the tap for direct leads. I'll list any nice ones on the MLS to get sellers top dollar, but the run down and distressed ones I plan to make deals any way needed.

I'd be happy to chat at some point.  I'm still taking on the fire hose and haven't bought an investment property, so I think we'd share a lot in common! Haha.  

[Tyler McConnell]

@Russell Holmes thank you again for the extensive feedback. It usually takes me a time or two through your replies to grasp everything you’ve relayed. I look forward to meeting up soon. The first few weeks of December are relatively open on my end. Let’s try to find some commonality and get face to face.

[Russell Holmes]

@Tyler McConnell haha I understand!  I tend to give long-winded responses at times. Sometimes my  BP scroll/post time overlaps with kids running through the house so I tend to get in the 'zone', type my thoughts out as clearly as possible, proofread quickly, post, and then run off to do something or save some bodily injury or property damage...haha.  I come back later and think, man that's a long roundabout reply.  But they don't allow editing after a few minutes to keep people honest, and it keeps my novels up in entirety :).  Oh well, I guess it shows my borderline obsession with all things Real Estate.   We'll definitely connect in December, maybe grab coffee at Panera or something close. I put it in my calendar to reach out in the first week of December.  I *should* be post-closing on both properties keeping me on the edge of my seat currently.