All Forum Posts by: Alaura Mannor

I can speak to one member of your team - the CPA - as that is my area of specialty.

As a beginning investor, you don't necessarily need a CPA before you begin, but it's one of the first things you'll want to have once you're under contract.

Depending on what you want to do, a CPA can guide you through tax strategies in the beginning, so that all of your taxes are minimized to the degree they legally can be.  Many folks wait until too late to get a CPA and end up in a situation that can't be optimized.

Make sure you're set up for optimization.  I recommend interviewing CPAs now, finding one you like, then let them know you'll be back in touch when you're under contract.  This will set you up for success from the tax side!

Best of luck!

Hi Alaura,

I'd recommend thinking about and framing out your objectives first... Before you go and ask someone to be a part of your team, be really clear on your "Why" and the strategy you want to pursue. This will help better set you up for success. If your strategy is to fix and flip, your team will look different from a buy and hold or STR approach (they could overlap but could be very different as well). First align on the type of RE investing you want to do and be clear on why. Why flipping vs Rentals or whatever it may be. Then, frame out each person you think you'll need on your team (agent, attorney, contractor, cpa, etc... and seek feedback) You're doing great by thinking about your team this early on, and I would encourage you to start meeting people and having conversations. Look for REI meet ups in your area. For me, I don't consider someone part of my "team" until I've known them for some time and understand truly what type of person they are. Don't just go with the first realtor / attorney etc.. that you meet. Try to meet several - word of mouth recommendations from people in your area are probably the best place to start for making solid connections. Remember, focusing on the fundamentals and being very clear on your strategy as you move forward will help you realize the most success. Never stop learning!

This! If people are only willing to help you when they can make money off it, you probably don't want to work with them. Just let them know upfront that you aren't ready yet (it's easy for them to put you on a drip/follow-up campaign). Good lenders, realtors, etc. will take the time to talk to you and be available to you for questions. As a bonus, most of them have newsletters/drip campaigns that can provide good info for your education.

It's never too early to learn and build your network!

When building a Real Estate team, it is important to not hire people or fill positions that you don't have a good understanding of. While it's beneficial to get outside opinions and perspectives, ensure that the person you bring in is an expert in their field. Additionally, providing incentive based pay can be more effective than simply offering salaries for certain positions - this allows for employees to work towards goals and be rewarded when they are achieved. Doing this encourages people to be more productive and motivated, ultimately leading to success. Investing in a good Real Estate team is essential for having a successful business.

Hi @Alaura Mannor.  Good for you for staring out!  I'm not military, but I've worked with many vets and the loan options/terms are impressive. Less than 3% down and competitive rates from what I've seen. I'm not sure about employment history. Talk to a lender who is an expert with VA loan products. (See link below to the military section of BP forums).

I agree with a lot of what has been said.  And I don't like last minute or to waste other's time either;) To answer your question, I don't think it's ever too early to start networking (go to local REIAs) and introduce your self to the Military Investing part of the BP forums https://www.biggerpockets.com/...  That will guide you to build a team.  A good lender will welcome you with open arms and encourage you to ask questions :)  And there's always creative financing if you want to move forward with using very little of your own money and credit.

Hello Alaura, I don't think it is too early for you to start learning and looking for team members! I reached out to my agent before I was even sure that I would be able to buy my first property. He helped me learn and ended up making great commission from it! 

Also, having access to VA loans is an incredible resource. I would highly recommend buying a home that you can house hack 0% down and doing that once a year. then once your income starts growing do other properties in addition to this!

I'll do my best to keep this brief for you.

Currently you are in what I call the prep phase. This is where you're planning, gaining knowledge, establishing relationships, and getting ready to dive into the game.

These are the things I would be focusing on in the meantime;

1. Build your network. Get in touch with investor friendly realtors, speak with mortgage lenders who can guide you through what needs to be done to get an approval, familiarize yourself with the local Property Managers/Flippers/Wholesalers, and start talking to other investors in your area. Attend the local REIA, get in the FB groups, meet for coffee etc.

2. Learn how to analyze a deal. Understand purchase prices, scopes of work, getting comps for ARVs. Get to know the terms cashflow, cap rate, cap ex, noi, dti... Basically get familiar with how you can run numbers on a house to get to what your best possible offer could be. 

3. Check NAR and FreddieMac at least weekly and go over some of their blogs to get a sense of where the market is, where it's going, and so on.

In regards to your last questions, you may as well call a local lender and ask them. Good ones will tell you and help you prepare for when you're ready to buy.

 If someone laughs at you for gaining knowledge than you don't need them on your team. Start now, you might be surprised what's out there. It's not the how but the who's in your life.

Don't build a team of people and hire positions you are not well versed in. I like incentive based pay as opposed to salary. 

Alaura,

There are programs desinged that use Military and school as a credit on employment seasoning. DSCR is also an option to buy an investment home using (No personal Income) Good idea to fomr a team and a game plan a head of time to avoid issues and take the best path.

I would also mention getting a Pre-Approval or Express loan commitment up front about 60-90 day sprior to getting ready to look or put in an offer.