All Forum Posts by: Marcus Auerbach

@Bruce Scannell I've been in the construction equipment industry and worked for a manufacturer basically since college. I didnt stay in engineering very long, switched to logistics, sales and later business development, which brought me to the US and Milwaukee. At a certain level it got very political and you spend your days in meeting rooms (death by powerpoint), and I am really more of a hands-on guy.  I see that you are well on your way with investments back home in Michigan! Sounds like you have developed a model - my recommendation: stick to it and rinse/repeat until you are out of the rat race. Good luck!

@Rolanda Eldridge Thanks! Glad to hear that it was not a hard transition for you. Many of the concepts translate right over, but my brokerage provides such a wealth of systems and training on residential RE that I think I will keep drinking from the firehose for a while. And not sure why I feel surprised about how little even top agents in my office know about investing. 

Dear BP community,

finally it's done!! After 17 years and a great career in corporate America it was a little bittersweet but definitely awesome to finally quit my job last week. I have been working hardtowards this day and getting out of the rat race for a long time. I am sharing this here, because my work friends would probably not too keen to hear about my excitement!

It all started out in 2009 with Rich Dad Poor Dad (what did you expect??) and a lot of skepticism on my side. I remember that I was thinking: this is too good to be true, why is not everyone doing this??? After the first deal I was hooked, but I had a lot to learn and BP was not only my best source of information, but also inspiration and, most importantly, re-assurance that this will actually work in real life. On this note a huge THANK YOU to the community for all the posts, blogs, podcastsand PM's that helped me along the way! And of course to Josh and Brandon!

I will certainly continue to rehab and rent, but I am used to doing this while working a full time job, so Ihave alsomade my RE license and have joined my long time broker and good friendas an buyer's agent. I am hoping for great synergies between working with buyers and other agents and rehabbing homes in the same market.

As a Realtor I definitely should inform my sphere about my new role and while I have a lot to learn there my experience as an investor and rehabber should be useful. I have not shared anything about my rehabs or rentals on social media yet; nor have I told many people that I will be working as an agent. To all those, who have taken this step ahead of me - how did you handle this and what advise could you give me? Do you guys post your about rehabs on facebook? Do you (sometimes) post about your agent business?

Family and business sometimes does not go well together... I think you have answered your own questions @Kevin McQueen

@Matt Gragg it looks like you took out a bathroom to increase the size of the kitchen?

I would agree. I don't think the logo would work well for your sellers and it reflects what you have layed out in your business plan - nobody likes to sell his home below value or have a eagle come in a grab it. But dont get too hung up on a logo. It takes about 7 impressions before your traget audience starts to recognize the logo. In other words a logo does not do much, witchout a monthly marketing budget. Focus on deals and learning; your name will be your most important brand - and it should be associated with good values like competence, integrity and hard work.

@Reynald Jean you do both. With only 10k and not much experience this is probably your onlye really feasible play, but it's actually a good one. Buy a duplex with an owner occupied loan (5% down). Buy in a quality neighborhood where you don't have to be worried at night. Fix up the lower first and rent it out, so you have rent coming in to offset the mortgage payments. The fix up the upper and move in yourself. Then bring the equity to 20% by paying down the mortgage to 80% of the home's value, so you can stop making PMI Private Mortgage Insurance payments. This process will teach you everything you need to know to decide for you future investment career. For more information lock for posts about "house hacking". Good luck!

James the purpose of a trust is amongst other things to conceal the owner. Leave a note on the door, probably all you can do. Even with driving for dollars you need some volume. Try to get 50 leads and then follow up, you'll need a lot of luck to convert only one property.

@Tyler Bullis I am sure some people will tell you there are con's, but in my book there are only pros! What you have in mind is commonly known as househacking and you will find ton's of posts on the subject. Some of the things that people will tell you are negatives are really just part of becomming a smart real estate investor. Like, you will have a neighbor. Fair, but compare that to living in an apartment building! The good thing is you are in control and can choose a neighbor. You have to learn how to be an investor (mainly a mindset, some mechanics and really a life skill), but a duplex is perfect to test the water and see if it's right for you. The fact that you post here makes me believe you are serious enough to follow through. What you do at age 19 will make a night and day difference for the rest of your life. You will learn so many lessons and will be much ahead of your friends in a few years, not only financially but also mentally. My advise is, don't do all the work yourself - only do what you are good at and bring some other trades in, especially electrical and plumbing. Make sure you buy in a good location, you can upgrade the building, you cant upgrade the location. You will build equity when you improve the building, you will live for free (or at least pay less, because you have rental income) and you will learn a ton. The first property is scary, it does not matter if you are 19 or 29, but take the advice you will find on BP and in hindsight you will see there was no reason to be scared at all. Good luck!   

In any order:

1. Have a plan and stick to it.

2. Practice makes perfect. Know your ONE THING and do it every day. Become a 10.000 hour outlier.

3. Read, discuss and research about your chosen niche as much as you can.

4. Work harder than your competition. No free lunch in RE.

5. Integrity, honesty, fairness and loyalty go a long way.