All Forum Posts by: Drew Cameron

I would say for the sake of starting fast to find a multifamily home and live in one side of it. They offer the best cash flow up front to keep you in the drivers seat for when an opportunity does come up. The downside to mfh is that they typically don't appreciate as fast as a single family home. With a duplex or triplex oftentimes you can live rent free off the other families so you can save up fast and acquire more properties that will positively cash flow to build up your portfolio.

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It kinda depends on what you want. There are many different niches to choose from to make money in real estate. But and hold is a great strategy for long term wealth, but is kinda slow developing. For example, after your down payment you may only cash flow 1-200 a month off your initial investment. Part of this every month should be put aside for repairs as they come up. Wholesaling is really difficult and takes some money up front to buy lists, put up bandit signs, and send direct mail, but can offer big fast pay days of 5-20,000 per deal. Flipping is the riskiest strategy, but offers the biggest potential reward. To start with I would pick one niche and get really good at it then branch out if you like. I just did my first direct mail campaign because the quick pay day that wholesaling potentially offers attracted me. My goal is to do a few wholesale deals and eventually get into buy and holds once I have accumulated some cash of my own. There is plenty of good information on the blogs and podcasts here, and the BP community is happy to answer questions with whatever strategy you choose. Welcome to BP and good luck investing.

2 Votes

I'm excited. My business partner used to be a private investigator and he specializes in tracking down the letters that come back. I'm hoping to get 10-15 calls and 1-3 deals from the mailers down the line. I think a 1-2% success rate is about the norm, but it should be higher in the mail that comes back since most people don't follow up. I'll keep posting here on BP as things happen. I'm just happy I found someone to push me to get started. I was in analysis paralysis like so many new investors. Having someone by my side who has been there and done that gave me the confidence to jump all in.

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He is well known here in Arizona and it is almost unanimously positive. I don't know much about him personally, but I'd say if you're looking for a guru you could definitely do worse.

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Hi everybody. I've been reading about real estate and going to meetings for the last few months. Everybody has basically said just get started. Most people are so scared to fail that they never start. I took this advice and have partnered up with a local investor in Phoenix and just sent out my first direct mail campaign. I'm excited for the future and looking forward to my first deal. I can't wait for the phone to start ringing. Exciting times around here!

2 Votes

I'm a wholesaler in maricopa county looking to add to my buyers list.

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Welcome to the BP community!

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When I was in debt I used the Dave Ramsey debt snowball and it worked great. I was able to pay off 30,000 in under 2 years on a bartenders salary of about 35,000 a year. Line up all your debts from smallest to largest regardless of interest and pay the minimum on everything but the smallest one. Every extra dollar goes to the smallest one until it's paid off and then that extra money goes to the next smallest one until your debt free. It seems difficult at first, but once you get a little momentum it goes faster and gets easier. Plus as the bills go away you get more motivated to find other ways to save money and go even faster.

1 Vote

Have any Phoenix investors heard of matrix investment network? It seems like a good option that is win win. You get a mentor and they teach and coach you through deals while you learn from them. It's not paying for a mentor per se as they help you with deals and you can earn while you learn.

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Originally posted by @Kyle J.:

I recently heard about this tactic for the first time on a real estate podcast and it made ZERO sense to me. Still does. Here's exactly how it was explained in the podcast (don't get mad at me if it makes no sense because I just relistened to the podcast to make sure I conveyed it correctly - makes no sense to me either):

- You have a $200k first mortgage on your house

- You take out a $50k HELOC and write a $50k check to pay down the principal balance on your first mortgage, so now you owe about $150k on the first mortgage

- Then you just simply "pay the HELOC off" in 6-7 months so you have the whole $50k limit on your HELOC available again

- Then you write another $50k check from your HELOC to bring the balance on your first mortgage down to $100k

- Pay off the HELOC again "over the next few months"

- Then just keep repeating this process (write a $50k check from your HELOC to pay down your first mortgage, pay back the HELOC, repeat) until your first mortgage is completely paid off in about 4 years and your HELOC is also paid off and suddenly you are debt free.

When I heard this I was like WTF?! This makes no sense at all. Who is going to be able to just keep paying the $50k HELOC off every few months, and if you did have that much extra disposable cash that you could use to pay back the HELOC, why do you even need the HELOC?? Just put it directly towards the principal balance on the first mortgage and skip the whole HELOC middleman part.

I kept thinking I was missing something when I was listening to the podcast because the whole idea just sounded so ridiculous. Maybe the podcast skipped over a key part that would have better explained how it is supposed to work, but I just don't get it.

I think this was the same thing I heard. I just couldn't make any sense of it.

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All Forum Posts by: Drew Cameron

Drew Cameron has started 29 posts and replied 82 times.

Post: Goals of Real Estate - For something nice now or later

Post: Phoenix Arizona newbie

Post: First direct mailing campaign

Post: What do you know about Sean Terry?

Post: First direct mailing campaign

Post: Any AZ cash buyers

Post: New Member From Kingman Arizona

Post: Investing with debt?

Post: Matrix investing network

Post: Mortgage strategies