19 year old College dropout to start my passion in realestate

[Ben Swartz]

Hey everybody my name is Benjamin Swartz and I live in Lakewood, Ohio (Cleveland Suburb). I would really appreciate if you are able to take the time to read and reply. I recently dropped out of college a week ago to pursue real estate while working as well. I got started 2 months ago of course by reading Rich Dad Poor Dad which started my passion from stock trading to real estate. I have only a couple grand saved up (with excellent credit) and don't really know where to start. Looked at wholesaling which after listening to bigger pockets podcast is pretty common for newbies to start. I'm extremely dedicated to learning as much as I can. I feel pretty lost right now I know as soon as I find my niche I can jump full steam into it. I would love to add any kind of value I can whatever way that is while being able to learn more. Thank you for reading I really appreciate it.

[Chris Davisson]

@Ben Swartz love to connect we are buy and hold investors. We do mentor and partner with folks. Feel free to message me. Thanks Chris

[Ben Swartz]

@Chris Davisson thanks for reaching out. Absolutely I send you a request on here. I can connect any way that’s easiest for you.

[Daniel Haberkost]

Originally posted by @Ben Swartz:

Hey everybody my name is Benjamin Swartz and I live in Lakewood, Ohio (Cleveland Suburb). I would really appreciate if you are able to take the time to read and reply. I recently dropped out of college a week ago to pursue real estate while working as well. I got started 2 months ago of course by reading Rich Dad Poor Dad which started my passion from stock trading to real estate. I have only a couple grand saved up (with excellent credit) and don't really know where to start. Looked at wholesaling which after listening to bigger pockets podcast is pretty common for newbies to start. I'm extremely dedicated to learning as much as I can. I feel pretty lost right now I know as soon as I find my niche I can jump full steam into it. I would love to add any kind of value I can whatever way that is while being able to learn more. Thank you for reading I really appreciate it.

Hey Ben, 

I grew up right between Valley City & Medina! Lakewood would be an excellent place to house hack.  

Are you working full time? Getting a steady W-2, saving for a down payment and talking to lenders to see where you need to be in order to qualify for an owner-occupied loan would be a great place to start. 

[Ben Swartz]

@Daniel Haberkost yea I’m currently working full time at a dead end job making $13 an hour. I just started that process I also found some a duplexes that already have tenants on leases. Thanks for replying.

[Bryan Thomas]

@Ben Swartz hey Ben! I also live in Lakewood, I have a couple opportunities that you might be a good fit for. Sent you an invite to connect

[James Maradits]

Hey Ben!

Welcome to BP.

I'm in the Lakewood/Kamm's Corner area as well and would be happy to connect sometime.

A good possible first step would be to find a job within the industry (property manager, title/escrow company, lender, etc) where you can gain some knowledge of the real estate industry but also receive some steady pay for awhile which will allow you to save up money and qualify for a loan to buy a house to "house hack".

[Chad Rocke]

Hey @Ben Swartz !

Welcome to BiggerPockets! You have hit the JACKPOT of resources for real estate investors. You can literally find answers to all of your questions within the confines of this site. What’s the best way to get started using BiggerPockets?

1.Subscribe to the BiggerPockets Money and Rookie Podcasts

2.Attend the FREE WEBINARS

3.Attend a Meetup in Your Area / virtual meet ups

4.Purchase the Beginner Books: How to Invest in Real Estate, Set for Life, The House Hacking Strategy

5.Peruse the forums! Ask questions! Answer Questions! If you are consistent with learning real estate over the next 4-6 months, you’ll be ready to purchase your first (or next) property in NO TIME!

Good luck,

Chad

[Brandon Goldsmith]

I would consider trying to find a mentor in your area. Someone who you can provide value to and learn from at the same time. Good luck! @Ben Swartz

[Joshua Noth]

@Ben Swartz

Welcome to the site. REI can be incredibly intimidating at first, given there is SO much out there to learn. Immersing yourself in this stuff is a great way to find what you're interested in - read blog posts, listen to podcasts, engage on the forums, etc. When you find something that interests you, learn as much as you can, and as you said, jump full steam into it. Continue to network as you have already started, and you will continue to find your next steps in this process. Best of luck to you!

[Jason Shackleton]

Hey @Ben Swartz

You are off to a great start here. Great advice above. Find a way to get involved in real estate even just a part time role to understand it. It is also good to keep working and stack that cash. I saved up the money from my part time job and eventually built a small portfolio. Not easy but doable. 

Perhaps partnering with someone who has the cash and finaincing and you locate the property and do most of the work. There is always a way. Finding a deal below market and acting as a wholesaler could be the value you bring to the table. 

Also if you go down the wholesaler route a SLOC may be an option as you mentioned having good credit. This is basically syndicated (stacked together) credit cards with a cash option. I have a lender connection to these through my business lending company. They take a fee off the top but then it runs at a super low rate 0% they say...If not used. I don't recomend this for you as you are intending to do buy and hold. Actually using an SLOC on a buy and hold is not a good play. It would not work well for your cash flow position. This is because if you were to use the whole amount you would be paying credit card like rates on the utilized amount. I do not advise this. Perhaps if one were a wholesaler or flipper it would be a nice option to have if they were in a pinch. Good to know all of your options however.

For now keep working, perhaps get a second job, build up your cash position and build your network. Look for that deal on your time off. Work on being prepared for when that deal comes your way.

Good Luck,

Jason

[Ben Swartz]

@James Maradits hey man I’ve applied to positions for property manager assistant and things like that. There is a $1 pay cut from what I make now but 50 hours instead of max 40 and I should be learning more about the industry. My parents are going to start making me pay rent so I am definitely going down the house hack route

[Ben Swartz]

@Chad Rocke thanks for all the great information! I definitely have some questions for sure already!

[Ben Swartz]

@Joshua Noth I found my goal on here. I want to make 10K a month from rental properties preferably from duplexes, triplexes, and fourplexes. Would you say 10K a month is doable by 30? Starting at 19-20?

[Ricardo Gomez]

Hello Ben,

Welcome to BiggerPockets. Best of luck on your endeavors.

Sincerely,

Ricardo Gomez

[Brandon Sturgill]

@Ben Swartz I do not disagree that school is for fools, but pay attention to who the most successful investors on BP are...these guys are all educated and most are real estate professionals...licensed agents or brokers. 

Best of luck

[Joshua Noth]

@Ben Swartz Love the goal. I am sure somebody has hit similar numbers before, so who says you can't.  It'll obviously take some hustle and maybe some particular focus on cash flowing markets, but definitely possible.

[Dave Poeppelmeier]

Hey Ben, that's great that you've found your passion. Rich Dad Poor Dad has had that affect for so many people. I really like some of the above suggestions: work in Property Management, house hack, etc. I would just say really work on your knowledge base right now and save money to get into a duplex to house hack. As hundreds of posts on BP indicate, Inventory is pretty tight right now, so you're not just going to go pick up a duplex easy-peasy. Sock away money for a down payment, go get an FHA loan with a low down payment, and find a decent little duplex. Let's be honest: you're not likely to hit a home run right now just starting out. Find a local Realtor that knows Investment Property (they're all going to say they can help you find a duplex, make sure they are looking through an investor's eyes), they can likely refer you to some local lenders they know and trust. Don't try to hit a home run right now, there's nothing wrong with hitting a single with a decent little duplex you can live in for a few years. That will also help you learn what it takes to manage a property/be a property owner. Best of all, if you find you don't like being a landlord, you turn it over to a Property Manager and let them do it for you or you just sell. Best of luck to you!

[Dmitriy Fomichenko]

Originally posted by @Ben Swartz:

Hey everybody my name is Benjamin Swartz and I live in Lakewood, Ohio (Cleveland Suburb). I would really appreciate if you are able to take the time to read and reply. I recently dropped out of college a week ago to pursue real estate while working as well. I got started 2 months ago of course by reading Rich Dad Poor Dad which started my passion from stock trading to real estate. I have only a couple grand saved up (with excellent credit) and don't really know where to start. Looked at wholesaling which after listening to bigger pockets podcast is pretty common for newbies to start. I'm extremely dedicated to learning as much as I can. I feel pretty lost right now I know as soon as I find my niche I can jump full steam into it. I would love to add any kind of value I can whatever way that is while being able to learn more. Thank you for reading I really appreciate it.

It's good to have you here Ben!