All Forum Posts by: Alexander Flores

Originally posted by @Vladimir K.:

Originally posted by @Alexander Flores:

I agree with @J Scott 100%. I spent a good 6 months looking on the BP forums and other internet sites on the process of RE before looking for potential rental properties.

Even then I knew nothing, three years later and I still know nothing ha

 You make a good point.  There is a need for study, but ultimately there is always risk.  If the OP found a thread on a 'tenant from hell' or a 'rehab from hell', they'd probably never want to get involved in investing as some deals have unforeseen risks that can bite no matter how much one knows.  

That is an excellent point Vladimir. I was getting at that everything in REI, investing or life, in general, is about calculated risks. The more you understand and study on a topic, the better you get at calculating risk but nothing is ever 100% risk-free.

Also if you find a thread or article on a terrible situation someone incurred while investing in real estate that made you never get involved in REI, you're better off not trying real estate investing.

@Abner Gomez Good thing you found this community. Flying a helicopter without being taught is not a great idea. The biggest hurdle I found in the beginning was being afraid to ask for help. Attending REI meetings was crucial. I would meet investors there, then meet them for coffee or something and end up going to see their flips or rentals during the rehab process to learn even more. Absorb everything like a sponge but be professional and offer them some reason to help you out. Too often people ask ask ask without giving any value in return or they ask a question that easily can be answered by Google. If you come off as being lazy or something along those lines people will be reluctant to lend a helping hand.

I agree with @J Scott 100%. I spent a good 6 months looking on the BP forums and other internet sites on the process of RE before looking for potential rental properties. Even then I knew nothing, three years later and I still know nothing ha

@Jamie Lashley What area of NJ? What type of investing are you interested in doing?

@Peter Matthews Another local investor, I'm down in Ocean County. I agree with the above comments. Talk to the person first. Consult a good real estate lawyer. PM me, I know of a great one up in Coltsneck.

My take on this would be that you have to trust that the property management company did their due diligence in getting a tenant who was a good fit for the property. Buying the property, you cannot evict the tenant if you want to since purchasing the property does not void the lease unless this was put into the lease that the tenant signed. Even then you're most likely stuck with the tenant.

I would just see if you can get any information on the property management company. As @James Wise stated, the property management company should have strict guidelines on getting a tenant.

I would be a lot more into finding out about the PM company, rather than the tenant.

We purchased the first rental property using a HML. Within a year of closing we had all of our money out of the property using the $50] cash flow and BRRRR method. Second property was going to bought as a flip, instead I used FHA to move into and currently have it on the market. Used it as my primary residence for 2 years to save a ton on taxes when I sell it. I had friends live with me to help pay the bills. Just closed on third property and second rental a month ago. If rehab comes in even a little over budget we will be able to BRRRR the property and get all of our money out in six months.

@Frank S. Calimano Welcome Frank! What part of NJ are you from, I invest in Ocean county but look in the neighboring counties as well. Your first post here is only the beginning. What kind of investing are you interested in doing?

@Frank S. Calimano Welcome Frank! What part of NJ are you from, I invest in Ocean county but look in the neighboring counties as well. Your first post here is only the beginning. What kind of investing are you interested in doing?

My take on this topic is as follows. I just closed on my third investment property, it will be my second rental property and I am currently listing my first flip as for sale by owner.

The knowledge you learn in the course is actually eye opening if you are truly interested in real estate. If you want to be a successful real estate investor then you better enjoy real estate. I took the course almost three years ago after I had bought my first rental property since I did almost all of the work for my agent since he was not very driven for some reason. 

I thought why not but when it came time to find a broker the two I had interviewed with were not keen on my just using my license for getting a new investment property once every year or two. So I never took the test and in NJ you have 1 year from completing the class to take the test or you must retake the class before taking the test to get your license. NOT TAKING THE TEST WAS A HUGE MISTAKE.

I wanted the license to give myself a little commission from the purchasing and selling side of investing but also so I had access to the MLS and would not have to rely on someone else. It will be great when I can go look at a property at my leisure and not have to rely on someone else.

Fast forward to this summer and I met my buddies brother in law who is a broker of his own real estate company and it is a small office, a perfect fit for me. As I did more research, a ton of brokers would have taken me years ago when I took the test had I called around more since I guess the two I talked to were the only two who wouldn't allow me to do it part-time per say. Long story short, I am taking my test for my license this weekend and hopefully will pass. 

The costs for the license as outlined above is about 2k a year which I would have saved on just my last two real estate purchases. When I sell my flip I will make enough profit to pay for the license for years to come.

I am of the adage that if I want to be successful in REI then I must become proficient in all necessary avenues of the game. I have never met an investor who has their real estate license that regrets getting their license even the slightest, the only regret I hear is not getting their license soon enough.

If you want to be successful then you need to treat investing as a business and you will need multiple income streams to truly be wealthy. Getting your license is just one more piece of pie you can have for yourself. I never want the whole pie, just a piece of it.

The amount of income streams your license can open up is amazing when you look in the right places.