Newbie Investor - Here to Learn

[Don Huynh]

Hello BiggerPockets community,

I am a newbie and would like to get a sense of how the more experienced investors typically seek investment opportunities. Do you typically just remain vigilant to various opportunities in your area of interest on several different MLS sites and tour various homes on your own? Do you network with real estate agents this early on to obtain leads for you? If so, how exclusive is this relationship, do you network with multiple RA in one area? My biggest question is how do you typically get a sense of the ARV for BRRRR when predicting how much all-in to calculate the proper LTV? If working with real estate agents at this early of a stage in my learning, I don't want to waste any agent's effort but I do want to garner more experience and comfort in the process so I'd like to pick anyone's brain. Thanks in advance!

-Don

[Kamil Baldyga]

Hey Don, each market is unique. Some are great for flips, BRRRRs, wholesaling, etc. Some may be a great combination of a few or all investment strategies. The best way to get a pulse on your market is to practice running numbers for each strategy on all types of properties you come across. A lot of properties will appear to not be investment worthy. What a lot of new investors forget is that you have to "MAKE" the deal. Once you run the numbers and see it would be a poor investment, see what would need to happen in order for it to be a good deal by your standards. Be it adjusting the purchase price, improving the ARV, changing the financing, etc. It's not the most exciting thing, but if you do this enough, you'll begin to get a good insight on the market and ARVs of properties. Speak to other investors in the market too, see what does and doesn't work for them. Hope this helps, let me know if have any questions!