All Forum Posts by: Cheryl Packham

My husband and I previously gave an RSVP, however, we will be unable to make it.  Congratulations and enjoy the party.  

Hoang,

I have found that the websites are often very delayed with actual foreclosure data.  The best place in my state to find those heading to foreclosure is the newspaper.  Maybe other states are more state-of-the-art and there data is uploaded to the online listing services faster, however, the newspaper and making friends with the recorders office at the county courthouse are always good options.  

Hope that helps.

Cheryl

Sounds good Taylor.  Look forward to it.  

Thanks Roy!!

Thanks Jon!  I have been on Bigger Pockets for a few months but haven't been very active in the forums.  I look forward to learning and contributing more.  

Hi Taylor,

First I would like to state that I am not a financial adviser and any advice given is purely my opinion.  

If you are not currently making an income that would be step one.  There is a lot of great advice on how to start investing with no money down, but that doesn't mean you don't need money to pay for your obligation.  

Once you have an income focus on paying off debt.  Borrowing from other people to pay other people is not paying off debt.  Personal loans from friends can be much more detrimental to your life then your credit.  If you have a friend who has money then maybe approach that person in the future with a profitable real estate deal.  

The best way to pay off debt is to start with your highest interest rate debt or your smallest balance first.  Put whatever you have towards that debt and get it paid off.  Once it is paid off use the amount of that payment plus the extra you put towards it to your next debt payment and keep doing this until you are debt free.  Once you are not paying interest to other people you will find you have a lot more money each month.  

After you have this done, set up an emergency fund.  Save up 3-5 months worth of expenses.  If you are still living at home and someone else is paying your bills then the minimum should be about $5000.  Leave this money alone and use for true emergencies like medical, car accident, etc.  

Now that you are debt free and have an emergency fund it is time to start looking at investing.  A good way for a first time home buyer to start investing is to save for a down payment and buy a multi-family unit(up to 4).  This will require a great credit score and reasonable income to accomplish because the bank will not take into account rental income until you have been a landlord for two years.  Depending on your market these could be rather affordable.  And boom, now you are an instant landlord and you have your own place.  Make sure that the rents cover your mortgage for the property and all the other expenses that come with owning real property.  You don't want to get into a negative cash flow situation because these are very difficult to get out of.  Use the analysis tools on BP prior to making your purchase and make sure you have a good network of people to gather advice.  

As mentioned above you could also look into a seller financed or a lease with option to purchase, however, I would recommend learning more about real estate and lending legalities prior to embarking on this endeavor.    The last thing you want is to get into a property and the bank calls the loan due because they deem the property to have transferred ownership.  This could cause a lot of headaches.  

Feel free to message me with any questions you have.  I tried to summarize my points, however, would be glad to elaborate on anything you would like more information on.

Good luck,

Cheryl

My husband Shawn and I are planning to attend.